×

The world’s biggest banks reportedly want to halt bitcoin futures launch

  • Bitcoin futures are set to be introduced by CBOE Global Markets and the CME
  • The Futures Industry Association says there has not been enough scrutiny of the product
  • Concern exists that clearing houses, funded by banks, may take on too much risk

Wall Street banks have raised objections to the introduction of bitcoin futures trading, highlighting fears that the financial system can't cope with the cryptocurrency's volatile price swings.

Bitcoin has rocketed higher Thursday, crossing the $15,000 mark less than 48 hours after topping $12,000.

The U.K.'s Financial Times has reported that a letter from the Futures Industry Association, which counts the world's biggest banks among its members, is to be sent Thursday to the Commodity Futures Trading Commission in the U.S.

The letter reportedly criticizes the introduction of bitcoin futures and states that the Chicago exchanges, CME Group and CBOE Global Markets, should not be allowed to launch bitcoin futures under a self-certifying regime.

The FT reported that a draft version seen by the newspaper said proposed rules for bitcoin futures trading do "not align with potential risks that underlie their trading."

CBOE Global Markets is due to launch its bitcoin futures exchange on Sunday. The CME group is due to launch its version on December 17.

For more on this story please click here.

WATCH: Bitcoin's origin story remains shrouded in mystery. Here's why it matters