Power Plant to Supply Mining Electricity! CME Director Candidate Suggests Investing in Bitcoin Mining for New Revenue Streams

The next board of directors candidate for the Chicago Mercantile Exchange (CME) has proposed that the CME should start investing in other business areas, including constructing energy plants, and using excess energy to mine Bitcoin and other cryptocurrencies, creating new revenue streams for shareholders.

CME Group Needs to Chart a New Course

The suggestion comes from Dante Federighi, one of the candidates for the next board of directors of the Chicago Mercantile Exchange (CME) Group and co-founder of an investment management company specializing in short-term interest rates and energy products such as crude oil. Federighi, along with three other candidates, has been nominated for the B-2 group of the CME Group board of directors, with two members set to be elected from the four candidates in May.

In the Shareholder Letter submitted to the SEC by CME Group this week, he outlined his vision for the company. He stated that although the Chicago Mercantile Exchange is a derivatives trading platform, Federighi noted that the correlation between "stock value" and "trading rights (the number of participants in the market)" should ideally remain positive as trading volumes increase. This reflects the enthusiasm of investors entering the market, but this correlation has completely broken down in the past decade. The company must increase liquidity and new sources of income for all equity owners.

Developing Bitcoin Mining as a Win-Win Strategy

In the letter, Federighi said:

"Some of our largest investors, such as BlackRock, are shifting investments to companies focused on creating value for all stakeholders. CME Group needs to address this trend by establishing solar/wind/hydropower plants to power our global operations, and then divert excess energy to mine Bitcoin and other cryptocurrencies."

By engaging in Bitcoin mining, the company can leverage its expertise in matching and clearing trades to quickly convert the mined cryptocurrencies into fiat currency, creating another source of revenue for shareholders. Federighi believes that the internet will be another new source of income for shareholders, and a deep understanding of new technologies will also change the global trading landscape of the Chicago Mercantile Exchange, a practice that is beneficial for both the company and shareholders.

According to previous reports, the holding group Atlas Holding has installed around 7,000 Bitcoin mining machines at its Greenidge Generation power plant in Dresden, New York. The plant, originally a coal and natural gas facility, has been converted into a natural gas power plant. By bypassing costs from intermediaries and directly supplying electricity from the power plant, the electricity costs are extremely low, with the mining facility estimated to produce about 5.5 Bitcoins in profit per day.

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