Futures Exchanges

Definition ∞ Futures exchanges are regulated marketplaces where participants trade standardized contracts to buy or sell an asset at a predetermined price on a future date. These exchanges provide price discovery, liquidity, and risk management tools for various commodities, financial instruments, and increasingly, digital assets. They facilitate hedging and speculation, requiring participants to post margin to cover potential losses. The operations of these platforms are subject to strict regulatory oversight to ensure fair and orderly trading.
Context ∞ The introduction of cryptocurrency futures on established futures exchanges marked a significant step toward institutional acceptance of digital assets, offering regulated avenues for price exposure. The ongoing expansion of these offerings continues to shape market structure and liquidity for cryptocurrencies. Regulators maintain close scrutiny over these markets to address concerns regarding manipulation and investor protection, impacting the accessibility and types of crypto futures available.