CBOE Chairman Edward Tilly says the objections raised by the Futures Industry Association against CBOE’s launching of Bitcoin futures as “uncalled for”. Besides, doesn’t reflect the reality of the regulatory process.
He was responding to the Futures Industry Association’s objections to CBOE futures. Thus, in a letter written to Commodity Futures Trading Commission (CFTC) that gave regulatory node for listing.
“I think letters like that and cheap shots to our regulator. The CFTC, are uncalled for to make it seem this was an overnight self-certification. Since without the proper amount of CFTC involvement. This is just irresponsible. I respect all the concerns that the industry has. But when it’s articulates in the way the FIA did, not so much.”
FIA said the listing was rushing and CTFC should have done more consultations.
FIA chief executive Walt Lukken wrote at the time,
“A public discussion should have been had on whether a separate guarantee fund for this product was appropriate or whether exchanges put additional capital in front of the clearing member guarantee fund”.
Interactive Brokers founder Thomas Peterffy also objected to the launch and says Bitcoin derivatives should be siloes off from the broader market.
“This letter is to request that the Commission require that any clearing organization that wishes to clear any cryptocurrency or derivative of a cryptocurrency do so in a separate clearing system isolated from other products,” wrote Thomas Peterffy, chairman of Interactive Brokers.
Tilly said the Options Clearing Corporation (OCC) clearinghouse that focuses on equities derivatives clears CBO contracts.
“Again, I default to their expertise and I’m comfortable with their decision,” he says.