• Bitcoin | Mar 4, 2018, 10:40 AM

    Checking in on the Bitcoin Commitment of Traders Report

    Checking in on the Bitcoin Commitment of Traders Report

    The Cboe Futures Exchange was the first exchange in the world to list bitcoin futures.  One of the great things about a new market is the data that comes along with it, at least for quant geeks like me.   The CFTC collects information about trader’s positions in a wide variety of markets.  This report is titled the Commitment of Traders Report (COT Report).  The COT reports provide a breakdown of each Tuesday’s open interest for markets in which 20 or more traders[...]

  • Bitcoin | Jan 10, 2018, 9:32 AM

    Bitcoin and the Commitment of Traders Report

    Bitcoin and the Commitment of Traders Report

    Those of us in the financial markets have been learning new phrases such as “hash rate”, “block height”, and “hard fork” since the launch of Cboe Bitcoin Futures last month.  Crypto traders that have embraced bitcoin futures are having to get up to speed on the listed markets.  Something that is new to the crypto space is the Commitment of Traders Report (COT Report) that is released by the CFTC each Friday.  The following is directly from www.cftc.gov[...]

  • Trader Talk | Bitcoin | Jan 3, 2018, 7:10 AM

    Happy Birthday Bitcoin

    Happy Birthday Bitcoin

    In the original version of this blog the author had bitcoin at eight years old, it has been updated after he realized it is now 2018. Most people are aware of bitcoin and the Bitcoin network as being proposed by Satoshi Nakamoto in a white paper (www.bitcoin.org/bitcoin.pdf) that was published in October 2008.  However, the real birthday (at least in my mind) for bitcoin is January 3, 2009.  On that day the first block of 50 bitcoin was mined which is now worth $740,000 based on yesterday’s[...]

  • Bitcoin | Dec 11, 2017, 4:37 AM

    Hedging bitcoin with XBT Bitcoin Futures

    Hedging bitcoin with XBT Bitcoin Futures

    Last night, Cboe XBTSM Bitcoin Futures commenced trading on the Cboe Futures Exchange.  The launch was smooth, although our website experienced some issues due to an overwhelming number of hits looking for the trading data.  Now that the futures are up and running, it may be time for a brief explanation of how an owner of bitcoins may use futures to hedge their position.  The initial futures contracts that traded in Chicago were on crops such as corn or wheat.  Farmers could[...]

  • Bitcoin | Nov 17, 2017, 10:22 AM

    A Look at Cboe Bitcoin (USD) Contract Specs

    A Look at Cboe Bitcoin (USD) Contract Specs

    One of the most discussed topics in the financial world recently has been bitcoin and the technology behind bitcoin.  A few weeks ago Cboe Global Markets announced plans to launch futures contracts based on bitcoin prices and that process is undergoing regulatory review.  However, we do have the potential contract specifications available.  For those who want to get prepared for the launch of Cboe Bitcoin Futures here are some highlights. The underlying ticker will be XBT and[...]

  • VIX | Bitcoin | Nov 14, 2017, 9:43 AM

    Bitcoin vs. VIX - What Has Been More Volatile in 2017?

    Bitcoin vs. VIX - What Has Been More Volatile in 2017?

    Recently, Cboe announced plans to list futures contracts on bitcoin which is still in the works pending regulatory review.  Since that announcement I’ve been paying much more attention to the crypto currency space and even spent time with an 8th grader in my neighborhood who is mining ethereum.  In watercooler discussions at Cboe (which take place in our coffee shop), we were discussing the volatility of bitcoin and one smart guy said it was probably similar to VIX.  That[...]