CME Group Suspends Trading in Response to Coronavirus

Fibo Quantum

With the coronavirus outbreak officially recognized as a global pandemic, crypto-related companies and organizations are changing the way they do business.

According to a CNBC report on Wednesday, Chicago Mercantile Exchange (CME) Group — the second firm to launch Bitcoin Futures in the United States — will suspend trading in Chicago from March 13. 

CME cited the need for caution over the spread of the coronavirus for the decision. Financial markets across the U.S. have been severely affected by the outbreak with the Dow Jones Industrial Average down 1500 points in 24 hours at the time of writing.

Suspending trading is precautionary

CME is the world’s largest financial derivatives exchange, and trades in agricultural products, fiat and cryptocurrencies, interest rates, metals, and stock indexes. The group released a statement citing the precautionary principle:

“No coronavirus cases have been reported on the trading floor or in the Chicago Board of Trade building. The reopening of the trading floor will be evaluated as more medical guidance on the coronavirus becomes available.”

Coronavirus-related closures

To date, the coronavirus outbreak has been responsible for stopping most flights to and from China, closing Italy to the entire world, and earlier today, travel restrictions between Europe and the United States. 

However, there are no plans yet announced to close the trading floor of the New York Stock Exchange, despite the 200+ confirmed cases of COVID-19 in the city. The Nasdaq, also based in NYC, is preparing a backup trading floor and data facility in Philadelphia’s Navy Yard business center, but remains open for business.

Employees at crypto firms told to work from home

While CME’s headquarters in Chicago will remain open with all 450 staff, some crypto exchanges and companies have been implementing new policies in preparation for the COVID-19 spread. 

Coinbase, the crypto exchange out of San Francisco, and Messari, a crypto analytics firm in New York City, have both announced employees will work from home until further notice.
Blockstack and the Winklevoss Twins are also encouraging employees to work remotely.

As of today, the United States has 1,322 confirmed cases of people infected with COVID-19, with 38 reported deaths.