With many speculating the recent surge of the price of Bitcoin (BTC) on October 25, 2019, there is a reason to believe that there have been regulatory approvals that could soon put Bitcoin in front of the 11 million investors that total more than $1 trillion in assets through TD Ameritrade.
With the recent news of President China, Xi, stating that China should “seize opportunity” and embrace blockchain, this had recent headlines relating this statement to a recent price reversal. It is evident that such a statement is beneficial and will create openness to blockchain projects, although the keyword is blockchains, not cryptocurrencies. However, due to the high speculation in the crypto-market, these headlines contributed to the price surge. Although, there have been developments in the background which hints an upcoming major onramp for Bitcoin in the United States.
On the day of the price surge, two Bitcoin-related products have been filed and certified by the United States Commodity Futures Trading Commission (CFTC). One of the Bitcoin product filings was ErisX Bitcoin Futures. The filing stated, “Eris Exchange, LLC (“Eris Exchange” or the “Exchange”) hereby notifies the Commodity Futures Trading Commission (the “Commission”), pursuant to Commission Regulation § 40.2, of its listing of Physically Delivered Bitcoin Futures (the “Contracts”) on Eris Exchange’s electronic trading platform, anticipated to begin on or after December 1, 2019.” On the CFTC Trading Organization Products webpage, the date of the filing indicates the same day of the surge, October 25, 2019. ErisX is backed by TD Ameritrade, as mentioned on their website, “As an investor, you’re always looking for opportunities. And as a firm we are, too. That’s why TD Ameritrade Holding Corporation has invested in ErisX—an innovative company that plans to offer traders access to cryptocurrency spot contracts, as well as futures contracts, on a single exchange.” TD Ameritrade announced this investment in 2018. However, there have been no hints as to when they will be offering cryptocurrency trading until now. Considering ErisX provides the trading product solution to institutions such as TD Ameritrade, ErisX’s recent Bitcoin Futures filing is one step closer. Also, another filing push is the amendments made on ErisX rulebook, which covers Cryptocurrency Trading, not just futures. The recent ErisX Rulebook filing indicates, “Eris Exchange, LLC (“Eris Exchange” or the “Exchange”) hereby submits for self-certification to the Commodity Futures Trading Commission (the “Commission”), under Commission regulation 40.6(a), the following amendments to Eris Exchange Rulebook. The proposed changes will become effective on November 11, 2019.”
Cryptocurrency trading services from ErisX and its affiliates could be around the corner. When asked when cryptocurrency trading will start, TD Ameritrade indicates, “Crypto trading will be dependent on when ErisX completes its product development and obtains regulatory approval.” With the recent regulatory filings taking effect on December 1, 2019, and the recent Rulebook amendments taking effect on November 11, 2019, there is a high possibility institutions like TD Ameritrade might offer cryptocurrency trading in the upcoming months.