BTC futures trading has grown in popularity in 2018. Trading in Asia hours has almost equalled the volume seen in the U.S according to Don Wilson, founder of DRW, a company described as empowering a team of exceptional individuals to identify and capture trading and investment opportunities globally.
Wilson was speaking at Coindesk Consensus Singapore 2018 regarding his observations on cryptocurrency trading. In his discussion, Wilson covers trading trends and volumes related to Asia and the U.S
Wilson talks about BTC derivatives trading in Asian hours doing similar volume as that of the U.S, something he said is not seen in the forex industry. Coindesk reported Wilson stating "If you look at the bitcoin futures data from CME and CBOE, volume in Asia hours are almost the same with the U.S. ... Whereas in like foreign exchange, even for the Japanese yen-dollar trading, volume in Asia is significantly lower."
The popularity of BTC futures trading in Asian hours indicates that there could be a potential opportunity for similar trading tools in Asia. Currently, BTC futures is traded on popular U.S exchanges CME and CBOE.
Wilson is a firm advocate for cryptocurrencies decentralized features stating "There's the argument about bitcoin as a store of value. But, more interesting to me, is the usefulness of bitcoin. The ability of transfer values without a trust in the system is hugely disruptive,"
DRW currently operates Cumberland, a crypto OTC trading desk which according to the Wall Street Journal, has traded more than $20 billion worth of BTC since 2016.
Wilson believes that adoption within institutions for crypto trading is a vital step forward. Wilson also discussed the regulatory problems that the crypto industry faces, particularly due to a lack of clarity from regulators. Wilson stated "Such uncertainty could drive away innovative projects in the space to other jurisdictions with clearer guidelines such as Switzerland and Singapore."
Coindesk Consensus: Singapore 2018 runs from 19-20 September.