Why our CF Bitcoin Volatility Index is the Missing Link for Institutional Crypto Risk Management and Trading, with Head of Product, Thomas Erdösi

Recorded 20 June 2024.

With Bitcoin’s realised volatility still regularly touching 50%, the multibillion dollar launch of US spot Bitcoin ETFs this year underlines institutions’ need for more efficient ways of managing crypto risk. This makes the new CF Bitcoin Volatility Index (BVXS), the only direct measure of CME BTC implied volatility, a timely addition to our roster of regulated benchmarks. But how exactly does BVXS work? Our Head of Product, Thomas Erdösi joined Ken and Gabe on CFB Talks Digital Assets for a step by step guide on the index, and a tour through crypto volatility in general. Just a few of many highlights:

• What CBOE VIX’s history tells us about how institutions are likely to deploy BVXS
• Meet the only CME Bitcoin Volatility Surface you’ll ever encounter in the wild...
• Use cases: from streamlined and granular tail risk hedging, to pure sentiment gauges, ETPs and more
• Why BVXS is another inflection point — for the CME CF Bitcoin Liquidity Complex and institutional participation overall