- Protection Fund
  1,000 BTC Protection Fund to safeguard your assets
- Career
  Join WEEX and build the future with top experts
- WXT Zone
  Exclusive fee rates and free airdrops await
- Announcement Center
  Stay ahead with WEEX updates
- Elite Trader
  Share your strategies and earn rewards
- Crypto Wiki
  Master trading with simple trading guides for everyone
- Affiliate
  Unlock exclusive perks and high commissions
- Crypto News
  Stay on top of the latest crypto trends
- Official Verification
  Use official channels to protect your account
- VIP Perks
  Become a WEEX VIP today
- Events Calendar
  Discover highlights of WEEX's events around the world
Buy Crypto
- Quick Buy
  Buy with Visa, Mastercard, Apple Pay, Google Pay
- P2P Trading
  Buy crypto with 0 fees
Markets
Futures
- USDT-M Futures
  Perpetual futures settled in USDT
- Demo Trading
  USDT-M futures demo
- About Futures
  About futures trading features
- Leaderboard
  Current & past leaderboards
Spot
Copy Trade
WE-Launch

Scan to download
More options

Hedge funds are shorting Ethereum on CME to engage in basis arbitrage

By: theblockbeats.news|2025/07/14 11:21:37

BlockBeats News, July 14th, according to data from the U.S. Commodity Futures Trading Commission (CFTC), hedge funds on the Chicago Mercantile Exchange (CME), favored by institutional traders, have shorted $1.73 billion worth of Ethereum. CME data also shows that Ethereum's leverage net position is heavily tilted towards the short side.

It is reported that basis trading refers to shorting an asset on one platform while buying on another platform to maintain Delta-neutral price fluctuations. In this case, traders can achieve an annualized return of about 9.5% by shorting ETH on CME and buying spot ETF (currently managing assets of about $12 billion).

In addition, traders shorting ETH can earn an additional annualized return of about 3.5% by buying spot ETH and staking it. It is worth noting that buyers of spot ETFs cannot choose this method because Ethereum spot ETFs do not currently support staking services.

Matador Technologies plans to raise $900 million to continue acquiring Bitcoin

Trader Eugene: ETH/BTC exchange rate breaking through the 0.022-0.027 range is a structural victory for the market