CME, Silicon Data Launch AI Computing Power Futures, Pending Regulatory Review
Updated
Updated · Bloomberg · May 12
CME, Silicon Data Launch AI Computing Power Futures, Pending Regulatory Review
6 articles · Updated · Bloomberg · May 12
CME Group and Silicon Data said Tuesday they are creating a futures market tied to computing power, extending derivatives trading into infrastructure underpinning the AI boom.
The contracts are designed to let traders, financial firms, AI developers and cloud providers hedge volatility and price risk in access to computing capacity.
Silicon Data’s market indexes will serve as the benchmark for the products, which still require regulatory approval before launch.
Can a futures market tame AI's volatility when the underlying GPU technology becomes obsolete so quickly?
Will financializing compute power solve the AI resource crunch or simply intensify the global battle for electricity?