Bitcoin platform scores key greenlight from Wall Street regulator

The Commodity Futures Trading Commission on Monday granted a license to  an entity to serve as a derivative-trading platform for bitcoin                                                                                                                                                                                                                    and other cybercurrencies like Ethereum's ether. The CFTC approved New York-based LedgerX to  provide clearing services for options and derivatives pegged to the  nascent cryptocurrency market--a regulatory approval that could  potentially expand trading in bitcoin and other such currencies. According to Reuters,  Ledger Holdings, the parent of LedgerX, raised about $11 million in  funding from groups including Miami International Holdings Inc. and  China's Huiyin Blockchain Venture Investments to help run its clearing  business. About $1.5 million was raised from funders led by Google  Ventures and Lightspeed Venture Partners, Reuters reported. Monday's  CFTC approval comes about four months after the SEC rejected a proposal  by twins Tyler and Cameroon Winklevoss for a bitcoin exchange-traded  fund. For LedgerX's part, the startup, which has been seeking a bitcoin  derivatives license for years, is expected to begin its operation by  offering so-called put and call options, which are contracts that grant  the owners the right, but not the obligation to buy and sell an  underlying asset at designated price and time. On Monday, a single  bitcoin was trading at $2,768, up fractionally on the day.