Bitcoin futures trade billions daily; CME records surging treasury volumes; DTCC outlines a plan for T+1 settlement;
Bitcoin futures trade billions daily
According to a report compiled by The Block, crypto derivatives exchanges saw 2.09 T and 1.77 T trading volumes on bitcoin futures in January and February. This translates to daily trading volumes of over 65 B per day.
Bitcoin prices have appreciated rapidly, prompting some asset managers to claim that they either already have or would in the future have crypto asset in their portfolios.
Source: https://posttrade360.com/news/custody/cme-sees-bitcoin-futures-trade-for-billions-daily/
CME records surging treasury volumes
CME recorded a total of 1.7 M volume on 10year treasury futures, up from 1.5 M in Februray 2020. The volume of 30 year treasury futures have also increased to 1.8 M from 1.7 M last year.
CME said that the new record is 58% high from 2019 numbers and the total volume went over 25 M contracts across seven consecutive days.
DTCC outlines T+1 settlement
DTCC has outlined a two year plan to move US settlements of US equity trades to a T+1 basis. On their three-stage plan, DTCC plans to set up a T+1 prototype set up on DLT for industry-wide testing and then move to a final launch.
The recent saga with Gamestop short-selling has caused some to call in for a T+0 settlement. However DTCC has pointed out that a T+0 could lead to a severe reduction in liquidity and removal of short sales could mean that the market forces currently in place will be taken off and could lead to large volatility. However some brokers do point out that reduction of the settlement to T+1 could be a compromise. DTCC believes that this could lead up to a reduction of margin calls up to 41%.
Source: https://www.thetradenews.com/dtcc-outlines-two-year-roadmap-for-transition-to-shorter-settlement/
