6/ it also enables trades like constructing a positive-carry BTC long position by importing yield from a basis trade on another CEX with higher yields than Deribit's: just post USDe on Deribit and go long BTC perps there against that collateral when the yield spread is favorable
1/ CME Bitcoin options just experienced some of its largest volume days ever, ahead of the US election
two very notable prints happened in the last wk:
4/ total size was around $350mm notional, which is large even in the context of Deribit
the breakeven on those positions is a touch below $79300, so something like +16% from when these trades started printing
the payout profile looks something like this
2:25 PM | Panel: What Are the Pillars of a Thriving RWA Ecosystem?
Speakers: Joshua Lim from @arbelosxyz, John Patrick Mullin from @MANTRA_Chain, Clarisse Hagege from @dfnsHQ, Kyle Libra from @paxos, moderated by Colin Cunningham from @chainlink
5/ very bullish positioning into the election, and great to see institutions sizing up like this on CME
perhaps a good sign that there is and will be growing liquidity in the crypto derivatives markets as the asset class matures
What makes the RWA ecosystem thrive?
For @clarisse_hagege, @joshua_j_lim, @jp_mullin888 , Kyle Libra, and @ctcunning, the answer is clear: UX.
The ultimate goal? RWAs should be so intuitive that users don’t even realize they’re interacting with Web3 technology.
*Middle East war breaking out, VIX and crude spiking higher, China potentially on the verge of major stimulus*
crypto traders: "...oh I guess I should absolutely obliterate vols again!"
*BTC dailys / weeklys crushed to sub 40 vol*
⏪ @joshua_j_lim of @arbelosxyz joined @jdorman81 this week on That’s Our Two Satoshis LIVE to discuss their views on:
➡️ $BTC options on $IBIT
➡️ Limitations of the CME exchange
& more
Watch now on-demand. 👇
In our very first episode of Derivatives Decoded, our host, Founder & CEO of Kemet Trading, Ash, speaks with Josh Lim, Co-founder of Arbelos Markets. Josh shares his insights on the dynamic world of digital assets and the challenges faced by participants.
https://t.co/M1CRcM9YKF
1/ sorry for the long thread: I’ve had many convos around the SEC approval of IBIT options. my smart colleagues in the industry (h/t @dgt10011) have written great commentary around it...
my own views are more nuanced and tempered, but as always expect the unexpected in crypto: