Institutional Crypto Derivatives Trading Surges in 2023 as Bitcoin and Ether Open Interest Hits New Highs
• Crypto markets became more institutionalized in 2023 with growth of regulated, centralized derivatives trading venues like Coinbase Derivatives and CME.
• Bitcoin and ether open interest surged in Q4 as institutional investors positioned themselves ahead of potential spot BTC ETF approval.
• Bitcoin open interest topped $4 billion in Q4.
• Ether futures trading lagged, making up 20-50% of bitcoin futures market volumes.
• Inflows into existing bitcoin and crypto ETPs and futures ETFs totaled $1.9 billion in Q4.