Monarq Asset Management and DV Chain have executed the first block trades on CME Group's newly launched Bitcoin Volatility Index futures, marking a significant expansion in regulated crypto derivatives. These contracts track the CME CF Bitcoin Volatility Index (BVX), which measures expected BTC price turbulence over the next four weeks. Unlike traditional futures or options that require a directional price view, volatility futures allow traders to bet solely on the magnitude of price movement, enabling new hedging and portfolio strategies. The launch addresses growing demand from institutional investors for sophisticated risk management tools as bitcoin matures as an asset class. Shiliang Tang, CEO of Monarq, highlighted the importance of robust instruments within a secure, transparent framework. CME's crypto derivatives business has grown significantly, with year-to-date volume up 38% year-on-year to 266,900 contracts and average daily open interest up 18% to 274,500 contracts. This product adds to CME's existing suite of bitcoin and ether futures and options.

Key facts

• First block trades on CME Bitcoin Volatility Index futures by Monarq and DV Chain.
• Contracts track BVX index measuring expected BTC volatility over 4 weeks.
• Allows trading pure volatility without directional price bets.
• CME crypto derivatives volume up 38% YoY, open interest up 18%.
• Institutional demand drives need for regulated volatility hedging tools.

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