What happened: Wall Street banking giant Citigroup Inc (NYSE: C) is reportedly close to trading Bitcoin (CRYPTO: BTC) Futures on the Chicago Mercantile Exchange (CME)
According to a report by CoinDesk, sources within the bank said that Citi is currently awaiting regulatory approval to begin trading these contracts.
“The team will likely get approval to trade CME Bitcoin futures first and then Bitcoin Exchange Traded Notes (ETNs).” said another source familiar with the crypto derivatives market.
The source also claimed that Citi is actively recruiting people to join a crypto-focused team in London.
Also Read: Deloitte Blockchain Survey: Majority Believe Crypto Will Replace Fiat Within 10 Years
Those reports were later denied by a Citi spokesman who told Business Insider that the bank is currently not considering creating a crypto-focused team in London or investigating ETNs.
The Citigroup spokesman said in a statement to both publications that the bank was currently considering products such as futures for some of its institutional clients “as they operate under strict regulatory frameworks”.
When it starts trading Bitcoin futures, Citi will join other banking giants Goldman Sachs Group Inc (NYSE: GS), which began providing investors with access to non-deliverable forwards (NDFs) tied to the price of Bitcoin in May.
“The new offering paves the way for us to further develop our emerging cash-settled cryptocurrency functions,” said Max Minton, Head of Digital Assets Asia-Pacific at Goldman at the time.
Price action: Citigroup shares were trading at 1.63% at $ 73.22 at press time.
Goldman Sachs stock was trading at $ 413.31, up 1.16%.
In the crypto markets, Bitcoin was up 1.08% in the past 24 hours and was trading at $ 48,888 at press time.
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