Citi considering bitcoin futures trading for some institutional clients

A illustration of the digital cryptocurrency Bitcoin is seen on this image illustration taken June 14, 2021. REUTERS/Edgar Su/Illustration

Aug 24 (Reuters) – Citigroup Inc (C.N) is considering providing bitcoin futures trading for some institutional clients, a spokesperson for the financial institution mentioned on Tuesday, citing elevated demand within the cryptocurrency area.

Bitcoin costs rose previous $50,000 on Monday, after having weathered a crackdown by Chinese authorities on home cryptocurrency mining corporations earlier this 12 months, as mainstream adoption by firms and the broader public gathers tempo.

Media outlet Coindesk reported earlier on Tuesday that Citi is awaiting regulatory approval to start trading bitcoin futures on the Chicago Mercantile Exchange, citing a supply throughout the financial institution.

“Given the numerous questions round regulatory frameworks, supervisory expectations, and different elements, we’re being very considerate about our strategy,” a Citi spokeswoman mentioned in an e mail.

“We are presently considering merchandise akin to futures for some of our institutional clients, as these function beneath robust regulatory frameworks,” she added.

The financial institution was weighing the choice of offering cryptocurrency associated companies in May, in accordance with a Financial Times report.

Business Insider reported in late July that JPMorgan Chase & Co (JPM.N) will enable all of its wealth administration clients entry to cryptocurrency funds.

Reporting by Sohini Podder in Bengaluru and Dhara Ranasinghe in London; Editing by Ramakrishnan M.

Our Standards: The Thomson Reuters Trust Principles.

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