CME Group Avoids Meme Coin Derivatives Amid Institutional Interest in Crypto

CME Group, the world’s largest derivatives exchange, has announced that it will not be launching derivatives tied to meme coins. The decision is based on the absence of practical use cases for these coins. This stance comes as other asset managers, such as VanEck and 21Shares, are pushing to launch spot exchange-traded products (ETPs) tied to coins like dogecoin and Trump Coin.

Gio Vicioso, CME’s global head of cryptocurrency products, stated that the exchange is focused on tokens that have a use case and are foundational to blockchain infrastructure. In recent months, CME has expanded its crypto derivatives lineup to include Solana and XRP, in addition to its existing bitcoin and ethereum offerings. This expansion has seen significant interest from institutional investors, with Solana futures volumes moving close to $5 billion since their launch in February. XRP futures, which debuted in May, saw a record $235 million in volume last Friday and have crossed nearly $2 billion in volume to date.

CME’s products currently trade on a regular weekly schedule, from Sunday 6 p.m. ET to Friday 5 p.m. ET, with a one-hour daily maintenance window. This setup contrasts with the always-on nature of spot crypto markets, which some U.S. stock exchanges are beginning to replicate to attract crypto-savvy traders. Major U.S. stock exchanges are already several steps into adapting their infrastructure for 24/7 trading, aiming to better serve market participants active in crypto and other fast-moving asset classes.

CME is considering moving to 24/7 trading to align with crypto markets but has not yet made a formal decision. Vicioso mentioned that as the space continues to mature and interest in their products builds, it is important for CME to consider covering the gap that now exists between Friday evening and Sunday evening. This move would align CME’s trading hours with the always-on nature of the crypto market, potentially attracting more traders and investors to their platform.