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Cash settlement is what makes a futures contract on a privately held company viable.
Without it, expiration would require delivery of the underlying security, and when no publicly tradable share exists, that obligation cannot be met.
CME Group's Monday launch of cash-settled single-stock futures on 55 U.S. equities, including SpaceX and Micron, sits squarely on that design choice.
Where this sits in the product stack CME Group introduced the contracts on 55 U.S. Alongside the standard-size series, the exchange launched micro-sized contracts on 22 of those same names.
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