By Ilgar Alekperov,  CEO of ZUBR
By Ilgar Alekperov, CEO of ZUBR

Crypto-Derivatives Market Evolution: Where we are, and where we need to be

The cryptocurrency derivatives market has as many specific attributes as the cryptocurrency spot market. Namely, they feature developed decentralisation, largely unregulated platforms and diverse instrument specifications

The cryptocurrency derivatives market has as many specific attributes as the cryptocurrency spot market. Namely, they feature developed decentralisation, largely unregulated platforms and diverse instrument specifications. However, some features of this market are exclusive to cryptocurrency derivatives.  Inverse and quanto contracts, being the popular instruments on cryptocurrency derivatives markets, are practically unknown to classical exchanges. In an industry where the main speculative asset is also the main settlement asset - Bitcoin - and the operations required for settlement in fiat money are complicated, these instruments turned out to work the best. If you look for analogues of the crypto derivatives in the classical markets, the closest one will be found at a foreign exchange. The market is highly decentralised and it embodies many Over-the-Counter (OTC) platforms, poorly regulated players and an exhaustive list of the instruments.  In this market, as well as in the...continued

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