Solana Futures to Launch on the World’s Largest Futures Exchange CME Today

Following an earlier announcement, the world’s largest derivative marketplace, Chicago Mercantile Exchange (CME) Group, would launch Solana (SOL) futures trading on its exchange today. The Solana product will go live on the prominent exchange today after regulatory approval from the Commodity Futures Trading Commission (CFTC).

The Monday launch will mark a significant step for Solana, becoming the third crypto futures product on the CME trading platform. Interested institutional and retail investors will have access to the new contracts in micro and standard sizes.

For perspective, the micro-sized contract allows the trading of 25 SOL, while the larger-sized contract exposes users to up to 500 SOL.

CME Group Expands Crypto Offerings

The CME already has an existing Bitcoin and Ethereum futures product, launched in 2017 and 2021, respectively. However, the leading derivative platform noted that the Solana contract launch was in response to the growing demand for regulated cryptocurrency products. 

“With the launch of our new SOL futures contracts, we are responding to increasing client demand for a broader set of regulated products to manage cryptocurrency price risk,” Giovanni Vicioso, the Global Head of Cryptocurrency Products at CME Group, said.

The move aligns with a 73% rise in CME’s average daily trading volume, 55% average open interest, and over 11,300 unique accounts trading on the exchange, as shown in February. Conversely, the new contracts provide a flexible and efficient tool for Solana investors to manage risk and capitalize on opportunities.

The CME SOL futures will be cash-settled and benchmarked by the CME CF Solana-Dollar reference rate, offering a daily snapshot of SOL’s USD price at 4:00 p.m. London time.

Futures Contract Launch Fuels ETF Speculation

Notably, the CME’s decision to introduce Solana futures contracts to its exchange correlates to the digital asset’s surging popularity among developers and investors. 

“The launch of SOL futures is a significant milestone in the ongoing maturation of the cryptocurrency market,” Teddy Fusaro, president of Bitwise Asset Management, revealed.

Amid the imminent Solana derivative launch, speculations about potential Solana ETFs have emerged. Optimism has surged within the Solana ecosystem, as enthusiasts believe the recent development could pave the way for easy approval of the Solana spot ETF while driving a price surge.

Notably, several top asset managers, including VanEck, Canary Capital, Bitwise, Grayscale, and 21Shares, have filed for Solana ETFs with the SEC, with rulings anticipated later this year. At press time, SOL has retraced almost 2% to $127 in the past 24 hours.