Terrence A.Duffy, Chairman and CEO of Chicago Mercantile Exchange (CME), a leading derivatives exchange, revealed that there has been some growth in the demand for his crypto products since November.
A recent Interview CNBC’s Closing Bell asked Duffy about institutional demand for it. Bitcoin futures product.
CME Records Sees Increase in Crypto Products
CME’s chief executive believes that market conditions in 2022 may have had an impact on institutional demand for its products.
Many critics thought institutional interest in crypto assets would drop significantly after the collapse of Terra in May and FTX’s bankruptcy in November.
Duffy however revealed the contrary, as the demand for CME’s crypto derivatives Products have risen since November.
After last year’s events, it’s been fascinating to see what’s happening with Bitcoin. The entire crypto industry suffered, and then we saw a rise in our trades around November and December. It is still continuing here,” said the CEO.
Duffy suggested that CME’s clients trust may have helped drive sales. Clients may choose to trade in regulated markets such as CME because of the lack of clarity regarding the regulatory framework for the crypto industry.
“I believe people are starting to look at the regulated markets, particularly the institution market. If we are going to trade this stuff, it will be traded on a regulated exchange such as CME. He said that there has been an increase in the demand for crypto products and that they are very happy about it.
CME’s Greatest Year in History Was 2022
CME is still available despite the crypto winter. revealed During its Q4 2022 Earnings Conference call on February 8, the company stated that the last year was the greatest in its history and it experienced significant growth.
Financial products of the firm were responsible for the company’s growth with a 5.27% rise in revenue between 2021 and $1.21 billion, as well as earnings per share records of $1.92.