Latest news with #LuukStrijers
Yahoo
02-06-2025
- Business
- Yahoo
XRP's Indecisive May vs. Bullish Bets – A Divergence Worth Watching
XRP, used by Ripple to facilitate cross-border transactions, ended May with signs of indecision. Still, activity on the dominant crypto options exchange, Deribit, suggests that bulls aren't ready to back down yet. The payments-focused cryptocurrency formed a "doji" with a long upper shadow in May, a classic sign of indecision in the market, according to charting platform TradingView. The long upper wick suggests that bulls pushed prices higher to $2.65, but bears stepped in and rejected those levels, driving prices down to near the level seen at the start of the month. The appearance of the doji suggests the recovery rally from the early April lows near $1.60 has likely run out of steam. Doji candles appearing after uptrends often prompt technical analysts to call for bull exhaustion and a potential turn lower. Accordingly, last week, some traders purchased the $ 2.40 strike put option expiring on May 30. A put option offers insurance against price drops. The overall picture remains bullish, with options open interest concentrated in higher-strike calls in a sign of persistent positive sentiment. Open interest refers to the number of active contracts at a given time. A call option gives the purchaser an asymmetric upside exposure to the underlying asset, in this case, XRP, representing a bullish bet. "XRP open interest on Deribit is steadily increasing, with the highest concentration of strikes clustered on the upside between $2.60 and $3.0+, reflecting a notably bullish sentiment while the spot price currently trades at $2.16," Luuk Strijers, CEO of Deribit, told CoinDesk. The chart shows that the $4 call option is the most popular, with a notional open interest of $5.39 million. Calls at the $3 and $3.10 strikes have an open interest (OI) of over $5 million each. Notional open interest refers to the dollar value of the number of active contracts. "XRP option open interest is split across June and September expiries, with monthly notional volumes approximating $65–$70 million, of which over 95% is traded on Deribit," Strijers said. The bullish mood likely stems from XRP's positioning as a cross-border payments solution and mounting expectations of a spot XRP ETF listing in the U.S. Furthermore, the cryptocurrency is gaining traction as a corporate treasury asset. Ripple, which uses XRP to facilitate cross-border transactions, recently highlighted its potential to address inefficiencies in SWIFT-based cross-border payments. The B2B cross-border payments market is projected to increase to $50 trillion by 2031, up 58% from $31.6 trillion in 2024.
Yahoo
22-05-2025
- Business
- Yahoo
Bitcoin Options Open Interest Hit Record $42.5B on Deribit as Traders Eye Next Bull Target for BTC
"Don't be surprised if buying activity picks up across the spectrum of products tied to BTC," CoinDesk said in Tuesday's edition of the Crypto Daybook Americas, presenting a bullish case for bitcoin. As bitcoin's (BTC) price jumped to new lifetime highs above $111K during Thursday's Asian trading hours it spurred record activity in the Deribit-listed options market. The notional open interest (OI), or the dollar value of the number of active or open options contracts, rose to a record $42.5 billion, Deribit's CEO, Luuk Strijers, told CoinDesk. Options are derivative contracts that give the right but not the obligation to buy or sell the underlying asset at a predetermined price at a later date. A call provides the right to buy, representing an implicit bullish bet on the market, while a put option offers insurance against price slides. BTC's move to record highs saw traders chase upside through higher strike call options. "Most traded strikes in the past 24h: $120K and $130K upside calls for May and June expiry. Highest OI now sits at the $110K, $120K, and $300K June 27 strikes — showing bullish conviction," Strijers said. Deribit is the world's largest crypto options exchange, accounting for nearly 80% of the global crypto options activity. The exchange also offers trading in perpetuals and spot markets. The overall open interest across crypto options and perpetual futures segments has also hit a record high of over $45 billion. Publicly traded crypto exchange Coinbase has planned to acquire derivatives exchange Deribit in a $2.9 billion in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-05-2025
- Business
- Yahoo
Coinbase to buy options exchange Deribit in $2.9B deal
This story was originally published on Banking Dive. To receive daily news and insights, subscribe to our free daily Banking Dive newsletter. Coinbase has agreed to acquire Dubai-based crypto options exchange Deribit in a $2.9 billion deal set to close by the end of this year, the companies announced Thursday. The deal aims to expand Coinbase's international foothold: Deribit controls roughly 85% of the global crypto options market, according to CoinDesk – and reported $1.2 trillion in trading volume last year, a 95% jump over 2023. About 20% of Coinbase's revenue now originates overseas. The acquisition breaks down to a $700 million cash offer, alongside 11 million shares of Coinbase Class A common stock. The company's shares saw a 6.6% jump in value on the market Thursday after the deal announcement. 'We're excited to join forces with Coinbase to power a new era in global crypto derivatives,' Deribit CEO Luuk Strijers said in a statement Thursday. 'As the leading crypto options platform, we've built a strong, profitable business, and this acquisition will accelerate the foundation we laid while providing traders with even more opportunities across spot, futures, perpetuals, and options – all under one trusted brand.' The deal ranks as the crypto sphere's largest of 2025 – a year already rife with several high-profile combinations. Ripple last month said it would buy prime brokerage firm Hidden Road for $1.25 billion. Kraken in March opted to acquire futures platform NinjaTrader in a deal worth $1.5 billion. Kraken had been in talks to buy Deribit for months, CoinDesk reported. Now it appears Coinbase has won out. The deal aims to 'add diversity and durability' to Coinbase's trading revenues, Greg Tusar, the company's vice president of institutional product, said in a blog post Thursday. 'We believe crypto options are on the cusp of significant expansion, similar to the equity options boom of the 1990s,' Tusar said. Options give traders the right to buy or sell an asset at a predetermined price by a specific time but don't require them to execute the trade. That helps in hedging risks. The crypto sphere writ large appears to be betting on the U.S. as a massive growth catalyst. Last week, for example, U.K.-based crypto lender Nexo announced its reentry in the U.S. market after two years away. The swarm for U.S. assets comes after Donald Trump's reelection as president. On the campaign trail, Trump called for the U.S. to become 'crypto capital of the planet' and pledged that Biden-era 'persecution' of crypto firms – largely through an aggressive enforcement campaign by the Securities and Exchange Commission – would end. While Trump's second term has proved a boon for the value of bitcoin, Coinbase in particular has seen its share price drop 33.5% from a peak during the first week of the new administration. Once the Coinbase deal closes, Deribit founders John and Marius Jansen will step away from the firm they launched roughly a decade ago, according to a post on Deribit's website. Integrating Deribit's technology with Coinbase's products will enable 'more efficient onboarding, enhanced fiat rails, and capital efficiency across the entire trading lifecycle,' Deribit said. For Coinbase, however, the Deribit purchase 'might be the best 'value' deal in crypto I've ever seen,' Jeff Park, Bitwise's head of alpha strategies, wrote in a Thursday post on the social media site X, calling the combination 'a coup for Coinbase.' 'This isn't just another addition,' Tusar said in a nod to several of Coinbase's previous acquisitions, including Xapo and One River Digital. 'It's foundational to our vision of creating the most comprehensive, compliant, and user-friendly derivatives platform globally.' Recommended Reading to buy Voyager Digital's assets in $1B deal Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Crypto Insight
09-05-2025
- Business
- Crypto Insight
Coinbase to acquire options trading platform Deribit for $2.9B
Coinbase, the largest cryptocurrency exchange in the US by trading volume, has agreed to acquire Deribit, one of the world's biggest crypto derivatives trading platforms. Coinbase Global will acquire Deribit for about $2.9 billion, the exchange announced on May 8. The acquisition will allow Coinbase to expand into the profitable crypto derivatives market and continue scaling the platform's global growth, Greg Tusar, Coinbase's vice president of institutional product, said in the announcement. 'With Deribit's strong presence and professional client base, Coinbase is making its most substantial move yet to accelerate our international growth strategy,' he said. Deribit founders to step away Following the deal's success, expected later in 2025, Deribit founders John and Marius Jansen will step away from the firm. Their exit would mark the end of the joint venture that began in 2014, Deribit said in a statement on Thursday. Until the deal is closed later this year, pending regulatory approvals, Deribit will continue its business as usual. 'Same platform, same team, same commitment to excellence,' the announcement noted. 'We're excited to join forces with Coinbase to power a new era in global crypto derivatives,' Deribit CEO Luuk Strijers said, adding: 'As the leading crypto options platform, we've built a strong, profitable business, and this acquisition will accelerate the foundation we laid while providing traders with even more opportunities across spot, futures, perpetuals, and options — all under one trusted brand.' The announcement also mentioned that integrating Deribit's technology with Coinbase's products will enable 'more efficient onboarding, enhanced fiat rails, and capital efficiency across the entire trading lifecycle.' Deal follows reports of Dubai regulatory steps The $2.9 billion deal includes $700 million in cash and 11 million shares of Coinbase Class A common stock, subject to customary purchase price adjustments. 'This transaction is subject to regulatory approvals and other customary closing conditions and is expected to close by year-end,' the announcement said. Previous reports in March suggested that Coinbase and Deribit had alerted regulators in Dubai about the potential deal, as Deribit holds a license in Dubai, which would need to be transferred to Coinbase if the deal is successful. The reports also previously suggested that a deal with Coinbase could value Deribit at between $4 billion and $5 billion. Coinbase's Deribit acquisition marks a growing trend of large acquisitions in the cryptocurrency market. On May 1, rival exchange Kraken officially announced it was finalizing the acquisition of the derivatives trading platform NinjaTrader to offer futures trading. Kraken previously said it entered into an agreement to acquire NinjaTrader for $1.5 billion, subject to certain purchase price adjustments. Source:
Finextra
08-05-2025
- Business
- Finextra
Coinbase agrees $2.9bn deal to buy crypto options exchange Deribit
Coinbase has boosted its derivatives business by agreeing to buy crypto options exchange Deribit for $2.9 billion. 0 The deal will see Coinbase pay $700 million in cash and 11 million shares of its Class A common stock for Deribit, which has some $30 billion of current open interest. Coinbase says Deribit rounds out its institutional derivatives offering, adding crypto options to its US futures and international perpetual futures businesses. The deal is also expected to immediately boost profitability and add diversity and durability to trading revenues. According to Bloomberg, the agreement comes after months of talks which saw Coinbase face competition from Kraken, which eventually opted to pay $1.5 billion for NinjaTrader. Deribit CEO Luuk Strijers says: "As the leading crypto options platform, we've built a strong, profitable business, and this acquisition will accelerate the foundation we laid while providing traders with even more opportunities across spot, futures, perpetuals, and options - all under one trusted brand."
