CME Group receives a $1 billion investment from Google Cloud to improve finance-backing technology.

CME Group receives a $1 billion investment from Google Cloud to improve finance-backing technology.

Google Cloud has announced a $1 billion (approximately Rs. 7,434.9 crore) investment in CME Group, a US-based derivatives marketplace, as part of a new 10-year agreement. The financial services company will use Google Cloud servers to run its operations. For people entering the field of “derivatives,” which are financial instruments rather than assets, the two companies seek to offer risk reduction tools and other user-beneficial platforms.

While speaking to a news reporter about the Google cooperation, Terry Duffy, Chairman and CEO of the CME Group, said that the transaction will result in cost savings before adding, “it’s the expansion and growth of the business.”

Every revenue source, according to the multibillionaire businessman, needs to be backed up with technology.

“It can take years to deploy those technical inputs.” So going under the Google umbrella, which is so enormous and vast, is another option for us to gather income in real time,” Duffy added.

According to ads by The CME CEO, the pandemic made him wonder what the world would be like in the following five years, so he reached out to Google to help the company improve its technology.

Google Cloud, meanwhile, has welcomed the new cooperation on Twitter.
The CME Group has recently focused on providing cryptocurrency-related financial services. Micro Bitcoin and Ether futures have been added to the company’s crypto offerings as demand for the second-largest digital asset by market capitalization continues to climb.

Micro Bitcoin futures, for example, debuted in May and have since traded over 2.7 million contracts, according to MSN news, which cited the CME Group.

The CME Group’s new series of non-voting convertible preferred stock will be the recipient of Google’s $1 billion equity investment.

According to the Wall Street Journal, Thomas Kurian, CEO of Google Cloud, said while commenting on the deal, “CME Group has a century-long track record of enabling investors access new markets and is known for financial market innovation.” “Technological innovation in capital markets infrastructure will be accelerated,” he added.

The CME Group has recently focused on providing cryptocurrency-related financial services. Micro Bitcoin and Ether futures have been added to the company’s crypto offerings as demand for the second-largest digital asset by market capitalization continues to climb.

Micro Bitcoin futures, for example, debuted in May and have since traded over 2.7 million contracts, according to MSN news, which cited the CME Group.

The CME Group’s new series of non-voting convertible preferred stock will be the recipient of Google’s $1 billion equity investment.

According to the Wall Street Journal, Thomas Kurian, CEO of Google Cloud, said while commenting on the deal, “CME Group has a century-long track record of enabling investors access new markets and is known for financial market innovation.” “Technological innovation in capital markets infrastructure will be accelerated,” he added.

 

Source: https://gadgets.ndtv.com/cryptocurrency/news/google-invests-usd-1-billion-cme-group-transform-finance-tech-2600034

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