Institutional digital assets platform, trueDigital Holdings made an announcement that it has plans to offer bitcoin derivatives for U.S. investors. New Organization makes its foray in providing bitcoin derivatives in the US
From a firm called trueEXIn, the company said it has reached an “agreement in principle” with the U.S. Commodity Futures Trading Commission (CFTC). This agreement is to acquire a designated contract market (DCM) and swaps execution facility (SEF) registrations. They announced the details in a press release last week.
The firm said the deal is pending approval from the CFTC.
The aim is to launch a “fully-regulated” cryptocurrency derivatives exchange that would list trueDigital’s bitcoin physically deliverable swaps if the bid is successful. The company states that these swaps “ are self-certified with the CFTC.”
The company plans to add additional crypto derivatives in the future.
Thomas Kim, the CEO, said:
“A trueDigital owned and operated regulated exchange is the natural step in our evolution toward achieving our goals. Adding the exchange to our ecosystem delivers a complete end-to-end offering, currently unavailable today, that encompasses tokenization, payments, market data and settlement for the benefit of our clients and partners.”
If the deal goes through, trueDigital would become one of the very few entities offering regulated crypto derivatives in the US. LedgerX, which launched a bitcoin derivative offering in October 2017, would be the firm’s main rival.
New Organization makes its foray in providing bitcoin derivatives in the US. TrueDigital launched an OTC reference rate for bitcoin and ether.
Last December the New York State Department of Financial Services gave the approval to offer services within the state. Signature Bank has also teamed up with the company to launch a blockchain-based digital payments platform.