SWISSBANK INTENDS TO INTRODUCE BITCOIN FUTURES TO ALLOW RATES AGAINST THE CRYPTO-CURRENCY

Representatives of the Swiss bank Vontobel reported that on Friday their institution will start trading the first in Switzerland a pair of mini futures in order to "short" bitcoins, reports Reuters. This will provide investors with a tool for betting against the cost of volatile crypto currency or hedging of bitcoins.

NEED MORE BITCOIN FUTURES!

The news about the creation of two mini-futures on the Swiss stock exchange was the second largest provider of structured products in the country, following the announcement of CME Group Inc : the world's largest operator for the exchange of derivatives in the world told of plans to launch a futures contract for Bitcoin later this year.

Mini-futures are derivatives that combine the functions of futures and options. At the same time, they are quoted at a much lower cost than traditional futures contracts.

When Bitcoin's price falls by 10%, the value of the more conservative of the two mini futures rises by almost 6%, while the second increment will be almost 10%, according to a document on the terms of contracts published by Vintobel on Tuesday.

This month, the cost of BTC changed incredibly: last week it fell by 29% from a record high of $ 7.888, set on November 8. Over the past four days, the Crypto currency has recovered more than a third of its price.

Over this year, Bitcoin has risen by more than 600% - this rapid growth has pushed many people into thinking that the digital currency has become a bubble that may burst in the future.