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

German derivatives exchange Eurex has announced that it has expanded its portfolio by listing an Ethereum-based futures and options index.

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

The Deutsche Börse-backed derivatives exchange announced on Thursday that its new product, FTSE Ethereum Index Futures and Options, will launch on August 12, following the launch of the FTSE Bitcoin Index Futures and Options in 2023.

“There is significant trading and hedging demand from institutional and professional clients, 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 each contract representing 10 ETH (approximately $35,000 as of press time). The exchange says both contracts will be cash-settled and will expire on the last Friday of each month.

Eurex said the index, developed in collaboration with FTSE Russell and Digital Asset Research, combines data from verified entities and exchanges to comply with EU Criteria and the final settlement rate for contracts will be determined “using the volume time-weighted average of the FTSE DAR Digital Asset Price over a 15-minute period prior to the fixing time.”

The listing comes after reports that the U.S. Securities and Exchange Commission is set to approve spot Ethereum exchange-traded funds (ETFs) for trading on American markets starting July 23. Projections suggest that these ETFs could attract up to $5 billion in inflows in the first six months, potentially reaching $20 billion in the first year.