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10 December 2017: Bitcoin futures arrive on Wall Street

The Cboe Futures Exchange began trading the first bitcoin futures contracts on a regulated US exchange, with its website buckling under the traffic. It was a step toward mainstream legitimacy for crypto, allowing traders to bet on falling prices for the first time on a major exchange. Bitcoin peaked just a week later, and some argued that the ability to short it helped end the rally.

The lesson: When it becomes easy to bet against an asset, one-way rallies often end.

What it meant for investors

$1,000 in Bitcoin at the start of 2018 → $7,143 today, vs $2,519 in the S&P 500.

We start the clock at the start of 2018, the first year in our price data after the event. That is 7.1 times the money, and $4,624 more than a plain index fund made over the same years.

What Bitcoin teaches: Extraordinary returns came bundled with repeated drawdowns of 75 percent or more; the gains went mostly to holders who could survive each collapse without selling.

Bought inPrice thenWorth todayS&P 500 would be
2015$315$317,460$3,301
2018$14,000$7,143$2,519
2020$7,200$13,889$2,092

green = beat the S&P 500 · red = lost money

What if you bought Bitcoin? Every starting year and the full story →

10 December 2017: Bitcoin futures arrive on Wall Street