First Bitcoin Swap Trades on TeraExchange

TeraExchange has facilitated the first bitcoin derivative transaction on a regulated exchange, with bitcoin-focused trading company digitalBTC, trading the TeraExchange USD/Bitcoin swap with a hedging counterparty.

The swap is the first of its kind, providing institutional market participants with access to a regulated bitcoin derivative that trades on TeraExchange, a swap execution facility regulated by the Commodity Futures Trading Commission (CFTC).

“There is significant, growing demand for a hedging instrument like this,” says Christian Martin, CEO and co-founder of TeraExchange. “Not only does the swap provide a much-needed risk management tool but it instills confidence and credibility to the entire Bitcoin community at a vital time in the market’s development.”

“We are delighted to be working closely with TeraExchange and are excited they have created a regulated platform for institutional traders,” says Bill Brindise, chief investment officer at digitalBTC. “This swap is an important investment vehicle that has been sorely needed by bitcoin investors, retailers and miners. Like TeraExchange, digitalBTC is no stranger to regulation since stock exchange listing requirements mandate complete transparency into our business activities and financial reporting.”