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Tag: derivatives market

  • 21Shares Launches DYDX ETP, Unlocking Institutional Access to On-Chain Derivatives

    Zurich, Switzerland, September 11th, 2025, Chainwire

    21Shares today announced the launch of the 21Shares DYDX Exchange-Traded Product (ETP), a regulated, physically backed investment product providing institutional investors with secure and compliant exposure to DYDX (DYDX), the native token powering the dYdX Chain. The launch is supported by the dYdX Treasury subDAO through its operator – kpk.

    With over $1.4 trillion in cumulative trading volume settled on dYdX, dYdX is the most operationally mature decentralized derivatives protocol, serving 230+ perpetual markets globally. The 21Shares DYDX ETP bridges traditional and decentralized finance, offering institutional allocators a regulated, trusted pathway into the rapidly growing on-chain derivatives market.

    21Shares led the product design, regulatory approvals, and exchange listing to ensure seamless integration into institutional trading environments. Leveraging its track record as one of Europe’s leading ETP issuers, 21Shares delivers professional investors access to DYDX with best-in-class compliance, security, and operational reliability. This momentum aligns with accelerating inflows into U.S. spot bitcoin ETFs such as the Grayscale Bitcoin ETF (GBTC), underscoring growing institutional adoption.

    Mandy Chiu, Head of Financial Product Development at 21Shares said: “The 21Shares dYdX ETP is a natural addition to our product lineup, providing investors with institutional-grade access to one of the first decentralized exchanges to offer perpetual futures contracts. This launch represents a milestone moment in DeFi adoption, allowing institutions to access dYdX through the ETP wrapper – utilizing the same infrastructure already in use for traditional financial assets.”

    Marcelo Ruiz de Olano, CEO and co-founder at kpk, added: “Promising DeFi tokens often fly under the radar for investors not yet familiar with DeFi. With the 21Shares dYdX ETP, dYdX is accessible via ticker and trade, making the market as simple to reach as any listed security. By contributing to the Treasury SubDAO, we help dYdX align real protocol revenues with tokenholder value. The launch of the 21Shares dYdX ETP gives institutional investors a clear entry point into one of the most dynamic DeFi protocols, without the hurdles often experienced with on-chain operations.”

    Charles d’Haussy, CEO of the dYdX Foundation commented: “The dYdX ETP empowers institutions to harness DYDX’s pioneering technology which redefines the $28 trillion crypto derivatives markets.”

    Global derivatives markets exceed $100 trillion in notional value, yet DeFi derivatives remain under 1% of this scale. The 21Shares DYDX ETP launches at a pivotal moment, aligned with dYdX’s high-velocity roadmap, providing institutions with a timely and regulated on-ramp as the protocol expands into:

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  • Bitcoin Leverage Ratio Witnesses Notable Spike — Bullish Or Bearish For Price?

    Bitcoin Leverage Ratio Witnesses Notable Spike — Bullish Or Bearish For Price?

    Over the past week, Bitcoin (BTC) has been enjoying attention from all tiers of investors; from short-term traders to institutional players. This can be seen in the strong performance of spot Bitcoin ETFs in the previous week. Similarly, the Bitcoin derivatives market appears to be witnessing increased risk-taking behavior from traders as shown by recent on-chain data. 

    Bitcoin Market Now In ‘A Risk Zone’ — What’s Happening?

    Leverage is a tool that allows traders to control substantial positions with a relatively small amount of capital. While leverage helps traders and investors bolster their potential profits, it also opens them up to significant risks, especially when the market volatility is elevated.

    In a recent Quicktake post on the CryptoQuant platform, an analyst with the pseudonym Crazzyblockk revealed that there has been increased leverage use amongst Bitcoin market participants. This on-chain observation is based on the Estimated Leverage Ratio (ELR) metric, which measures the ratio of open interest in futures contracts to the coin reserves on exchanges.

    Crazzyblockk noted that the reserves of some large-cap stablecoins are also considered in the calculation of the Estimated Leverage Ratio. “This is based on the concept that stablecoins have been increasingly used as collateral for derivative trading in recent years,” the analyst added.

    The Estimated Leverage Ratio serves as a valuable indicator in assessing the amount of leverage used by market participants for trading derivatives. According to the CryptoQuant analyst, the ELR metric has witnessed a notable upswing over the past few months, which signals increasing open interest and dwindling exchange reserves, particularly Bitcoin.

    Furthermore, the Bitcoin derivatives market has now seemingly entered a risk zone due to the sharp increase in the leverage being used by market participants. According to the Quicktake post, this implies that the market is susceptible to spontaneous price movements in any direction. Hence, short-term traders might want to approach the market with caution.

    Has BTC Price Established A Local Top?

    As of this writing, the price of Bitcoin stands at around $68,400, reflecting no significant change in the past day. According to data from CoinGecko, the premier cryptocurrency is up by over 8% in the past week.

    In a separate Quicktake post, an analyst revealed that the price of Bitcoin might be readying for a brief correction after printing a local top. This analysis is based on the increasing non-realized profits of Bitcoin traders in recent weeks.

    According to CryptoQuant data, the unrealized profits of BTC traders have surpassed $7 billion, which suggests potential selling pressure in the near future. And the risk of a price pullback rises when investors sit on such significant unrealized gains, as there is an increased temptation of taking a profit.

    Bitcoin

    Opeyemi Sule

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