Quant giant Jump Trading will provide market-making services for computing power futures on exchanges including CME Group.

PANews October 17 news, according to Bloomberg, Jump Trading and DRW are investing trading teams and proprietary capital to position themselves in the emerging AI compute derivatives market. Jump has formed a dedicated team and plans to use its own balance sheet to bear trading risk and provide market-making services for compute futures that CME Group and Silicon Data plan to launch, as well as for competing contracts launched by Intercontinental Exchange (ICE) and Ornn.

In addition, DRW also plans to conduct compute trading through three teams employing different strategies, and intends to trade Silicon Data's products, but has not yet decided which other compute contracts to participate in. However, analysts believe that the market still faces challenges such as insufficient price transparency, large price differences for GPUs across different regions and configurations, and the inability to store compute.