Deutsche Boerse-backed Eurex adds support for Ethereum to crypto derivatives list

German derivatives exchange Eurex has announced the expansion of its portfolio, listing Ethereum-based futures and options index.

Eurex Exchange, a German derivatives exchange known for trading European-based derivatives, has announced the listing of Ethereum-based index products, citing a “significant trading and hedging demand from institutional and professional customers.”

In a Thursday announcement, the Deutsche Börse-backed derivatives exchange unveiled that its new product, FTSE Ethereum Index Futures and Options, is set to launch on Aug. 12, following the 2023 introduction of FTSE Bitcoin Index Futures and Options.

“There is significant trading and hedging demand from institutional and professional customers, as reflected in record trading volumes in derivatives and other investment products.”

Eurex Exchange

The newly listed options and futures will be available in EUR and USD, based on the FTSE Ethereum Index, with aach contract representing 10 ETH (roughly $35,000 as of press time). The exchange says both contracts will be cash-settled, expiring on the last Friday of each month.

Developed by FTSE Russell in collaboration with Digital Asset Research, the index aggregates data from vetted assets and exchanges to comply with EU Benchmarks, Eurex says, adding that the final settlement rate for the contracts will be determined using a “volume time-weighted average of the FTSE DAR Digital Asset Price over a 15 minute period prior to the fixing time.”

The listing follows reports suggesting that the U.S. Securities and Exchange Commission is poised to approve spot Ethereum exchange-traded funds (ETFs) for trading on American markets starting Jul. 23, with projections estimating that these ETFs could attract inflows of up to $5 billion in the first six months and potentially reach $20 billion within the first year.