The next step for Citi in the blockchain space is a bitcoin futures contract.
Citi announced it is launching bitcoin futures contracts in 2018, and Citi is working with the Zions Bank on the implementation.
According to a press release, Zions will be the first bank to accept bitcoin futures, which are currently being developed by Citi and Zions.
Citing a Citi spokesman, Reuters reports:The bank has been working with Zions to develop bitcoin futures products, which it said will be ready for commercialization in the next six months.
Cites the spokesman, Zulfiqar Al-Omar, as saying:The announcement comes just a week after the company introduced its first bitcoin futures market.
The market was launched on December 14, and the Citi spokesperson did not provide any further details.
In October, Citi reported a significant $4 billion loss as a result of bitcoin’s price volatility, and a series of other losses from the bitcoin ETF market.
In November, Citing the Wall Street Journal, the bank said that it expected its bitcoin derivative assets to drop below $3 billion by the end of 2018.
Cited the same article, the CFO noted that Citi had a positive cash position and no short positions, meaning the bank did not need to raise capital for the future.