B3, the Brazilian Inventory Trade, confirmed that inside six months it intends to launch its first official product aimed on the cryptocurrency market — Bitcoin (BTC) futures buying and selling. The group’s chief monetary officer, André Milanez, made the announcement throughout a convention name on Monday.
Milanez didn’t present many particulars on how the product will work. It’s not but identified if B3 will kind a partnership or if it’s going to supply Bitcoin futures buying and selling immediately, however the timeline for launching this product was said to be comparatively quick. “We plan to launch bitcoin futures within the subsequent three to 6 months,” he stated.
At present, in Brazil, institutional and retail traders can commerce 11 ETFs by means of B3 with publicity to cryptocurrencies, together with CRPT11 from Empiricus with Vitreo; the NFTS11 of Investo; QBTC11, QETH11 and QDFI11 all from QR Property and META11, HASH11, BITH11, ETHE11, DEFI11, WEB311 all from Hashdex. As well as, in Brazil, there are greater than 25 funding funds authorised by the Securities and Trade Fee (CVM) that supply several types of publicity to the crypto-assets market.
In January Jochen Mielke de Lima, director of data know-how at B3, had already stated that the Brazilian inventory change would launch a number of merchandise with publicity to cryptocurrencies in 2022, together with Bitcoin futures and Ethereum (ETH) futures
On the time, the manager highlighted that the Brazilian inventory change had been trying carefully on the cryptocurrency market from a technological standpoint since 2016.
In response to the assertion, B3 solely wanted to settle the query on whether or not the negotiations can be carried out in opposition to the U.S. greenback or in opposition to the Brazilian actual. Futures contracts want a reference index, so if the group chooses Brazil’s native foreign money, will probably be essential to compose a crypto-assets index in reais — one thing that doesn’t exist now.
The B3 rep additionally stated it’s exploring methods to supply information inputs for the nation’s central financial institution digital foreign money, or CBDC.
B3 and Cryptocurrencies
Along with BTC and ETH futures, B3 additionally intends to supply companies to nationwide cryptocurrency exchanges and to be a sort of “centralizer” of custody and settlement operations, based on Jochen Mielke de Lima:
“We have now round 30 nationwide crypto exchanges, aside from the worldwide ones that function right here. We might supply a service to facilitate and standardize their operations. I imagine it has one thing to discover in offering custody companies and within the settlement course of.”
Mielke, additionally said that the cryptocurrency market is similar to the regulated inventory market, because it entails issuing, buying and selling, settlement and custody. He said subsequently that B3 might assist resolve widespread issues between exchanges.
“We’re figuring out factors of friction that we will help resolve to face up, akin to serving to our prospects present the very best entry to their finish prospects,” he stated.
As well as, B3 plans different merchandise based mostly on cryptocurrencies and blockchain to launch in 2022. Amongst them, there are research on a platform for asset tokenization, cryptocurrency buying and selling, cryptocurrency custody, amongst others.
“Buying and selling and entry to liquidity facilities: this implies mitigating the complexities of accessing a fragmented, international and 24×7 market; Digital Asset Custody: offering dependable custody (therefore, objective of blockchain transactions); Over-the-counter facilitation: thIn this fashion, it needs to supply extra safety and effectivity within the motion and DVP of digital property; Capital effectivity positive aspects: thus, it needs to mitigate the pre-funded nature of operations and Crypto as a service: make it simpler for purchasers to discover the crypto market with low friction,” highlighted B3.
For 2022, B3 reps stated they foresee the official launch of a reinsurance platform. This can work on the Corda blockchain R3, and is a partnership between the change and IRB Brazil.
