American binary options traders looking for exposure to the great volatility of cryptocurrencies can again trade with one of the only two legal venues in the U.S for binary options. The North American Derivatives Exchange (Nadex) has announced that it made the decision to resume the listing of its Bitcoin contracts starting today.
Back in February Nadex halted the listing of its Bitcoin contracts because of technical issues with the market price feed upon which the binary options are based. It explained that this was done due to the unavailability of the underlying Tera Bitcoin Price Index. And now Nadex says it is satisfied that the issue has been resolved.
Indeed, late last month the U.S. Commodity Futures Trading Commission (CFTC) revealed that TeraExchange LLC had received a full registration status. This came after TeraExchange had an issue with the CFTC as in September 2015 the regulator charged it for failing to enforce prohibitions against circular trading schemes. The charges by the CFTC against Tera were simultaneously settled, with the regulator requiring that the platform cease and desist from any future violations.
CEO Spotlight: Alon Rajic on the Future of UK/EU Trade and EconomicsGo to article >>
As a CFTC-regulated exchange Nadex was the first to announce that it will offer Americans binary options contracts on bitcoin prices back in November 2014. Nadex thus pioneered legal bitcoin investments as a product for U.S. retail binary options investors, while it was previously only available to institutional players. At the time, the company said the launch was in response to rising demand from customers.