In the first trading week of the new year 2024, market players will be focusing on the official US jobs report on Friday in addition to the Fed minutes from the latest central bank meeting. However, trading on the Frankfurt trading floor is unlikely to really pick up until next week. Overall, monetary policy developments on both sides of the Atlantic remain the number one topic of conversation.
The future of trading: At CapTrader you have efficient and cost-effective ways to trade the leading cryptocurrency as futures directly on the exchange.
MORE THAN A TREND:
KRYPTOS AS NEW ASSET CLASS
At the latest with the remarkable price gains of Bitcoin, cryptocurrencies have appeared on the radar of many stock market players - and are fascinating more and more market participants. No wonder, since these digital currencies are not only objects of speculation, but have the potential to establish themselves as a new asset class.
As a broker that always wants to offer its clients the latest in both technology and products, CapTrader enables an efficient way to trade Bitcoin.
Even though you cannot (yet) buy real, cashable cryptocurrencies (e.g. Bitcoins) at CapTrader, this does not mean that you cannot participate in this exciting market. In the meantime, there are a variety of products of different types, which can be traded on the classic exchanges (and thus of course also with us), and make participation easier than ever for you. It is up to you whether you decide to invest directly in a future, an ETF / ETN or a fund, or whether you prefer a lower correlation via shares, which may offer additional opportunities. In the following, we present some options from each of these areas, so that you can make the optimal choice for your goals.
Trading authorizations for trading cryptos
If you have not done so so far, you should first apply for trading permissions for all the ways to participate in the crypto markets presented here, so that you can then start trading these financial instruments. The following trading authorizations must be applied for when trading cryptocurrencies:
- Futures: USA + USA (Crypto)
- Complex or leveraged exchange-traded products
- Investment Fund
- Only for GBTC: Shares + USA (Penny Stocks)
For general guidance on how to apply for trading authorizations, please see here.
THE BITCOIN & ETHEREUM FUTURE
A bitcoin future represents the most direct way through which you can participate in the bitcoin / ether price. You can choose between several target months, as is usual with classic futures.
In addition to the well-known BRR, there is now also the MBT as a little brother with a significantly smaller tick size, as well as the "ETHUSDRR" or "MET" (little brother) for Ethereum. Outside of the CME, there is also the BAKKT from the ICE, which, however, has a lower liquidity compared to the CME futures. The correlation to the real price is almost perfect.
THE CRYPTO FUTURE OPTIONS (CME)
The new future options on cryptocurrencies now provide you with the well-known advantages of Options also available for trading with cryptocurrencies: Use the possibility to orientate yourself on concrete strike prices and hedge your existing positions, to collect lucrative premiums through option writer transactions or to implement various other complex strategies.
The options work like any other futures option, which you already know from the CME.
Available on all crypto futures traded on the CME (i.e. BTC and ETH, greater and lesser respectively).
Factor 100
Trading authorization "Options"
Market data "OPRA" package
At CapTrader you always trade at fair and transparent fees.
THE LEADING CRYPTOCURRENCY
TRADE AS FUTURES ON THE STOCK EXCHANGE
Since 2017, you can trade bitcoin as futures on CapTrader on the American CME exchange with the symbol BRR.
Find the corresponding contract information on the pages of the stock exchanges to the CME Bitcoin Futures BRR
KRYPTO ETFS / ETNS
There are now a large number of different ETNs on cryptocurrencies. These invest very similar to ETFs the deposited assets in the corresponding cryptocurrency and then issue shares, which can be traded on the traditional exchanges. As a rule, crypto ETNs have a TER in the range of 0.5% - 2%.
Due to the large number of ETNs available, a Google search may be worthwhile to compare costs (TER), type (physical / synthetic) and correlation (tracking error). If applicable, there are now other cryptocurrencies on offer. The correlation to the real price is usually very strong, although not always absolutely perfect.
In principle, CapTrader also gives you the opportunity to trade the newly approved US spot ETFs.
However, these are not authorized for retail investors in the EU due to the lack of compliance with the PRIIPs & KIDs Regulation
and also require classification as a Professional Trader in order to be tradable.
However, if you do not meet these requirements, you can trade European ETFs / ETNs without any problems.
| Provider | Ticker | Fees | Trading center |
|---|---|---|---|
| Bitwise Bitcoin ETP Trust (Re-filling) | BITB | 0.0% (0.20%) | NYSE |
| ARK 21Shares Bitcoin ETF (Re-filling) | ARKB | 0.0% (0.21%) | CBOE |
| Fidelity Wise Origin Bitcoin Trust (Re-filling) | FBTC | 0.0% (0.25%) | CBOE |
| Wisdomtree Bitcoin Trust (Re-filling) | BTCW | 0.0%(0.30%) | CBOE |
| Invesco Galaxy Bitcoin ETF (Re-filling) | BTCO | 0.0%(0.39%) | CBOE |
| Valkyrie Bitcoin Fund (Re-filling) | BRRR | 0.0%(0.49%) | Nasdaq |
| iShares Bitcoin Trust | IBIT | 0.12%(0.25%) | Nasdaq |
| VanEck Bitcoin Trust (Re-filling) | HODL | 0.25% | CBOE |
| Franklin Bitcoin ETF | EZBC | 0.29% | CBOE |
| Hashdex Bitcoin ETF Strategy Change | DEFI | 0.90% | NYSE |
| Grayscale Bitcoin Trust (Re-file) Conversion | GBTC | 1.5% | NYSE |
The trading times shown here are standard US times (15:30 - 22:00 CET).
THE BITCOIN FUTURE ETF "BITO"
The first bitcoin ETF with official SEC approval was launched by CoinShares in October 2021 and is available in Trader Workstation TWS under the ticker "BITO"can be found here. This is an ETF on the CME Bitcoin Future, the underlaying is therefore the "BRR" futures contract, which is also tradable.
KRYPTO FUND
The largest crypto fund in the world is currently the GBTC (Grayscale Bitcoin Trust). It is particularly popular with institutional investors and now manages assets of more than USD 30 billion in the Bitcoin trust alone. Private investors should note, however, that this fund does not always necessarily follow the bitcoin price exactly, there may be longer-lasting deviations (premium / discounts). Under certain circumstances, however, this also represents a special opportunity. We recommend this fund only to experienced investors who have understood the specifics exactly.
KRYPTO SHARES
Another way to participate in the market development of cryptocurrencies is by selecting stocks whose companies are closely linked to the crypto market. Here, there is not always a direct correlation between the price of a cryptocurrency and the price of the respective share, but in return there may be additional returns such as dividends.
Of course, each company is different, which is why we only provide a brief overview here and leave it to the inclined investor to obtain more detailed information about the respective companies themselves.
OPEN A SECURITIES ACCOUNT NOW AND IN BITCOIN
INVEST
Trade Bitcoin at CapTrader as you know it from classic securities: at favorable conditions, using the best technology and with the excellent support of our service team.
FREQUENTLY ASKED QUESTIONS ABOUT BITCOIN FUTURES
For more information, please see our FAQ.
What are the margin requirements?
Margin requirements for GBTC and BRR are currently 50% of the notional value for long positions and are updated on each exchange day based on the previous day's closing price. For short positions, USD 40,000 (GXBT) and USD 200,000 (BRR) are due.
What trading authorizations do I need?
In order to trade Bitcon futures, the following are required Trading authorizations for US crypto futures is required. You can assign this in your account management (Client Portal).
What is the ticker symbol for the Bitcoin Future?
Enter BRR to get the future.
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