Post
Topic
Board Speculation
Re: Why i think the CME listing Bitcoin Futures is actually a bad thing!
by
pitham1
on 04/12/2017, 21:43:12 UTC
According to how the Bitcoin Reference Rate (BRR) will be calculated, it appears that intraday volatility will have very little effect on the futures price.

http://www.cmegroup.com/trading/files/bitcoin-reference-rate-methodology.pdf

Actually, using the closing rate is more susceptible to market manipulation. We have all seen heavy buying in the last half an hour of trade in the equity markets, so that the price is pushed up at close. I suspect similar manipulation will happen in the Bitcoin market as well. And unlike equity markets, there is no regulator to wield the stick.