The Latest Crypto Derivatives Industry Statistics Explained
Crypto derivatives trading volume was recorded at $3.06 trillion in December 2020, source: CoinGecko.
The statistic states that the total trading volume of cryptocurrency derivatives reached $3.06 trillion in December 2020, as reported by CoinGecko. This figure represents the total value of all transactions involving derivative products in the cryptocurrency market during that specific month. Derivatives trading typically involves the use of financial instruments such as futures and options, which allow investors to speculate on the price movements of cryptocurrencies without directly holding the underlying assets. The high trading volume indicates significant market activity and investor participation in cryptocurrency derivatives, reflecting the growing interest and adoption of these financial products within the digital asset space.
In Q4 of 2020, crypto derivative exchanges captured 55% of the total cryptocurrency market volumes.
The statistic indicates that in the fourth quarter of 2020, a significant portion of trading activity in the cryptocurrency market was driven by derivative exchanges that offer trading products like futures and options. Specifically, these derivative exchanges accounted for 55% of the total market volumes, highlighting the growing popularity and influence of these platforms within the cryptocurrency ecosystem. This data suggests that traders and investors are increasingly utilizing derivative products to speculate, hedge, or manage risk in the volatile cryptocurrency market, potentially reflecting a more sophisticated and diverse trading landscape within the industry.
As of 2020, Binance was the most dominant player with a 43.6% market share in the derivatives exchanges.
The statistic presented indicates that in the year 2020, Binance held a substantial market share of 43.6% in the derivatives exchanges industry, making it the most dominant player in this particular market segment. This suggests that Binance had a significant competitive advantage over other derivatives exchanges, controlling a large portion of the trading volume and market activities related to derivative financial instruments. As a result, Binance’s dominance implies that it was a key player driving market trends, influencing pricing dynamics, and potentially shaping the overall landscape of the derivatives market during that year.
Ether’s open interest reached $2 billion for the first time on February 2021.
The statistic “Ether’s open interest reached $2 billion for the first time on February 2021” indicates that the total value of outstanding derivative contracts linked to the cryptocurrency Ether reached $2 billion in February 2021. Open interest is a measure of the total number of open contracts in a particular market at a specific point in time, reflecting the level of investor interest and exposure to that asset. This milestone highlights the growing popularity and significance of Ether in the cryptocurrency market, as well as the increasing use of derivatives for trading and hedging purposes.
In December 2020, Ethereum’s derivatives volume was recorded at $638 billion, rising by 183% since November.
The statistic indicates that the volume of derivatives trading in Ethereum, a popular cryptocurrency, reached $638 billion in December 2020. This figure represents a significant increase of 183% compared to the previous month, November. Derivatives trading refers to financial instruments whose value is derived from an underlying asset, in this case, Ethereum. The surge in trading volume suggests a growing interest and activity in the market for Ethereum derivatives, reflecting possibly increased speculation, hedging, or trading strategies among investors and traders.
Bitcoin derivatives trading volume hit a new all-time high of $1.43 trillion in December 2020.
The statistic indicates that the trading volume of Bitcoin derivatives reached a record-breaking $1.43 trillion in December 2020. This suggests a significant surge in interest and activity in the trading of financial instruments that derive their value from the price of Bitcoin, such as futures and options contracts. The all-time high volume reflects the growing popularity and adoption of Bitcoin derivatives among investors and traders, potentially driven by factors such as increased institutional participation, heightened market volatility, and a broader acceptance of cryptocurrencies in the financial industry. This milestone highlights the growing importance of Bitcoin derivatives as a key component of the digital asset market, signaling a maturing ecosystem and potentially influencing the broader cryptocurrency market dynamics.
Crypto derivatives total open interest volume hit $10 billion for the first time in August 2020.
In August 2020, the total open interest volume of crypto derivatives reached $10 billion for the first time. Open interest in the context of derivatives refers to the total number of outstanding contracts or positions that have not been settled or closed. This statistic indicates a significant level of activity and interest in trading cryptocurrency derivatives, reflecting a growing trend in the use of financial instruments such as futures and options within the crypto market. The milestone of $10 billion in open interest volume underscores the increasing popularity and liquidity of crypto derivatives as market participants seek opportunities for speculation, risk management, and investment in the digital asset space.
Crypto derivatives volumes on Huobi, OKEx and Binance represented more than 90% of the total derivatives market volume in December 2020.
The statistic indicates that the trading volumes of cryptocurrency derivatives on the platforms Huobi, OKEx, and Binance collectively accounted for over 90% of the total market volume for cryptocurrency derivatives in December 2020. This suggests that these three platforms were the dominant players in the cryptocurrency derivatives market during that period, with a significantly larger share of trading activity compared to other platforms. The high concentration of trading volume on these exchanges could potentially indicate that traders and investors prefer these platforms due to factors such as liquidity, trading fees, range of derivatives products offered, and reputation within the cryptocurrency market.
Binance’s futures trading volume peaked at $1.2 trillion in November 2020.
The statistic that Binance’s futures trading volume peaked at $1.2 trillion in November 2020 indicates the total value of futures contracts traded on the Binance platform during that specific period. Futures trading involves the buying and selling of contracts that derive their value from an underlying asset, such as commodities, stocks, or cryptocurrencies, with the intention to profit from fluctuations in the asset’s price. The $1.2 trillion trading volume showcases the significant scale of activity on Binance’s futures platform during November 2020, likely reflecting heightened market participation, volatility, and interest in futures trading within the cryptocurrency space at that time. Such a substantial trading volume highlights Binance’s position as a key player in the futures trading market and the growing importance of the cryptocurrency derivatives market overall.
Derivatives share of the cryptocurrency market rose from 38% to 53% in 2020.
In 2020, the share of derivatives in the cryptocurrency market increased significantly from 38% to 53%. This implies that a larger portion of trading and investment activity in the cryptocurrency market is now being conducted using derivative financial instruments such as futures and options, rather than just spot trading. The rise in the derivatives share suggests a growing sophistication and maturity in the cryptocurrency market as more traders and investors are utilizing complex financial products to manage risks and speculate on price movements. This shift towards derivatives may reflect a desire for enhanced liquidity, leverage, and hedging opportunities in the volatile world of cryptocurrencies, signaling an evolving landscape for market participants seeking exposure to this asset class.
Institutional-volume share of the U.S. crypto derivatives market was around 60% in 2020.
The statistic “Institutional-volume share of the U.S. crypto derivatives market was around 60% in 2020” refers to the proportion of trading volume in cryptocurrency derivatives that was attributed to institutional investors in the United States during that year. This indicates that a significant majority, approximately 60%, of the trading activity in crypto derivatives was driven by institutional players such as hedge funds, asset managers, and other large financial institutions. The dominance of institutional trading suggests a growing interest and involvement in the crypto market by established financial entities, potentially signaling increased market maturity and credibility in the eyes of traditional investors.
In Q2 of 2020, futures accounted for 78% of exchange-traded bitcoin derivatives volumes.
This statistic indicates that during the second quarter of 2020, futures contracts represented the majority share of trading activity in bitcoin derivatives on exchanges, accounting for 78% of the total volume. This suggests that participants in the bitcoin market were primarily engaging in derivative trading through futures contracts rather than other types of derivatives such as options or swaps. Futures contracts are standardized agreements to buy or sell an asset at a set price on a specified future date, providing investors with a way to speculate on the price movement of bitcoin without owning the underlying asset. The high percentage of futures trading volume highlights the significant role that these financial instruments played in shaping bitcoin price dynamics and market sentiment during that period.
Ethereum options market has shown a growth of over 1500% in 2020.
The statistic “Ethereum options market has shown a growth of over 1500% in 2020” indicates a significant increase in the trading volume or value of options contracts related to Ethereum, a popular cryptocurrency. A growth of over 1500% suggests a dramatic surge in market interest and activity surrounding Ethereum options within the year 2020. This could be driven by various factors such as increased adoption of Ethereum, heightened investor interest in cryptocurrency derivatives, evolving market conditions, or specific developments within the Ethereum ecosystem that have bolstered trading opportunities. Overall, the statistic highlights a remarkable expansion in the Ethereum options market and signals a notable trend worth monitoring for potential insights into the broader cryptocurrency landscape.
By the end of December 2020, OKEx was the largest player in the USD Tether-Margined Futures market with a 47% share.
The statistic indicates that as of December 2020, OKEx held the largest share in the USD Tether-Margined Futures market, accounting for 47% of the total market activity. This implies that OKEx was the dominant exchange platform facilitating trading with USD Tether as the margin currency for futures contracts. The 47% market share suggests that OKEx was far ahead of its competitors in terms of trading volume and user participation in this particular market segment, positioning it as a significant player in the cryptocurrency derivatives market by the end of 2020.
In 2020, Deribit accounted for almost 90% of all the Bitcoin options trading volume.
The statistic indicates that in 2020, Deribit, a specific cryptocurrency exchange platform, facilitated the trading of almost 90% of all Bitcoin options contracts. This data suggests that Deribit dominated the market for Bitcoin options trading during that year, highlighting its significant market share and influence in this particular financial product. The high volume of trading on Deribit indicates that traders and investors favored the platform for executing Bitcoin options trades, potentially due to factors such as liquidity, pricing, accessibility, or trust in the platform’s reliability. Overall, the statistic underscores Deribit’s strong presence and leadership in the Bitcoin options trading landscape in 2020.
As of April 2020, BitMEX and Binance are leading in terms of daily trading volumes with BitMEX accounting for $6.9 billion and Binance for $6 billion.
As of April 2020, BitMEX and Binance were the leading cryptocurrency exchanges in terms of daily trading volumes, with BitMEX accounting for $6.9 billion and Binance for $6 billion. Daily trading volume is a key metric in the cryptocurrency market that reflects the amount of assets being traded on a specific exchange within a given day. The high trading volumes of both BitMEX and Binance indicate significant market activity and investor interest in these platforms during that time period. These figures suggest that BitMEX and Binance were the preferred choices for traders looking to buy, sell, or exchange cryptocurrencies in April 2020, likely due to factors such as their user base, trading pairs, and overall market reputation.
References
0. – https://www.www.coindesk.com
1. – https://www.u.today
2. – https://www.cryptopotato.com
3. – https://www.decrypt.co
4. – https://www.cryptoslate.com
5. – https://www.www.coingecko.com
