The stock of E*TRADE Financial Corp (NASDAQ:ETFC) closed at $51.69 gaining 0.50% in yesterday’s trading session. E*TRADE through its website has disclosed that all its customers can now move ahead and trade both CBOE and CME World Markets bitcoin futures. It was back in December when the firm confirmed that it had paved way for its customers to trade the CBOE bitcoin futures.
The latest development comes at a time when the interest on bitcoin and other cryptocurrencies has surged among a significant number of the savvy investors and other groups. In fact, 2017 has gone down records as the best year for bitcoin considering that investors came out in large numbers to express their utmost interest in the digital currency.
The unveiling of bitcoin futures by Cboe and CME played the role of adding to the legitimacy of a market characterized by wild swings in prices and which is unregulated at the same time. For instance in late December, bitcoin was seen trading at about $18,000 though it later on plummeted. It was valued at $14,950 at the close of Wednesday trading.
The firm will be joining TD Ameritrade and Tradestation as the only other top online brokerages focused in the provision of access to bitcoin futures to all the interested customers.
Ally Invest and Charles Schwab have pointed to the fact that they intend to take the wait-and-see-approach but of course that is understandable considering the ever changing business dynamics witnessed around the globe.
Earlier on, Ally Invest had expressed its plan to start offering the bitcoin futures but with the passage of time matters took a different turn. It distanced itself from the statement but that was after taking a close look at the volatility that was associated with the first week of bitcoin futures trading. It isn’t about to ward in anytime soon because it wants to take more time undertaking research.
A person familiar with the matter opined, “For E*TRADE, offering bitcoin futures means more than just giving customers greater choice. With the heightened focus on cryptocurrency, some Wall Street watchers have predicted that the online brokerages that offer related products early stand to win over their more conservative peers.”