Moscow-based online brokerage firm Finam Forex will allow customers to trade Bitcoin futures from CME Group, the company said on its website Monday, joining its rivals in seeking to capitalize on the mania for the booming digital currency.
Finam Forex was the first ever company to win the Russian central bank’s approval to operate as a regulated brokerage firm in the country. It is also a founding member of the AFD.
CME’s bitcoin futures allow traders to bet on whether the price of the leading digital coin will rise or fall, and now they offer clients of Finam a way to access this in a well-known and regulated marketplace.
No Pain, No Gain: A New Dawn for the South African CFD IndustryGo to article >>
Compared with rival Cboe’s futures, CME’s derivatives appeal more to institutional traders and less to retail investors, due to its larger size. Each CME contract represents five bitcoins, whereas Cboe’s represents just one. That means it will require a bigger margin deposit to trade the CME contract.
In a regular disclosure notice, Finam Forex warns customers that trading bitcoin futures is “especially risky” and “their prices may move randomly.”
Major brokerages in the US, including E-Trade, TD Ameritrade and Interactive Brokers, have already enabled trading of CME and Cboe bitcoin futures following its launch last month.
Finam is part of a major privately owned financial group, Finam Holdings. The firm was founded over 22 years ago and is one of the first financial intermediaries in modern Russia, founded by board member of the Russian MICEX-RTS, Victor Remsha.