Financial Institutions Are Turning to Crypto: New Regulations Are Effective

Major Financial Institutions Venture into the Crypto Derivatives Market

Leading financial institutions have begun to turn towards crypto derivatives, influenced by clearer regulations in the US. Increasing clarity is allowing digital assets to have a more widespread place in traditional investment portfolios.

New products, such as overnight interest rate futures, multi-token indices, and access to decentralized finance liquidity, are enabling institutional investors to expand beyond just Bitcoin, allowing for a broader pool of crypto assets and arbitrage strategies.

Panelists indicated that the support of futures and other derivatives by a robust overall sector with beta scale will lead to trillions of dollars of institutional capital flowing into crypto assets. This situation suggests that the risk of non-participation is increasingly growing for traditional finance professionals.