Deribit’s CEO, John Jansen, reportedly said the new service will offer block trades with a minimum of 40 bitcoin and 800 ether for options contracts linked to those cryptocurrencies.
Deribit claims it’s becoming the first crypto futures and options exchange to provide large-volume trades of bitcoin and ether derivatives.
The move comes via a partnership with institutional messaging service Paradigm, according to a BNN Bloomberg report on Thursday.
Ten top crypto trading firms have already signed up to use the service, with Paradigm founder Anand Gomes naming QCP Capital in the report.
According to its website, Paradigm offers tools allowing over-the-counter traders to automate price negotiation and settlement. Using Paradigm’s messaging service, parties can set up the options trades, which are then then settled and cleared at Deribit. Commonly, traders use Telegram to carry out such negotiations.
Amsterdam-based Deribit is not regulated in the Netherlands, since local regulation defines derivatives as cash-settled contracts, BNN Bloomberg says. However, the exchange has the safety net of an insurance fund, should traders default on payments due to issues like bankruptcy.
Back in March, Galaxy Capital-backed institutional trading firm Caspian launched trading in crypto derivatives through an integration with Deribit’s platform.
Crypto-Friendly Silvergate Bank Goes Public on New York Stock Exchange
Silvergate Bank, a crypto-friendly bank, officially began selling shares on the New York Stock Exchange Thursday.
Roughly a year after it first filed for its initial public offering, Silvergate began its “IPO day” on the NYSE, according to the stock exchange’s Twitter account. The news comes a day after Silvergate received a “notice of effectiveness” from the U.S. Securities and Exchange Commission, indicating its long-running IPO bid had been accepted.
The bank currently serves more than 750 firms in the crypto space, including exchanges, investors and others, according to an updated IPO prospectus filed in September 2019.
This is up significantly from the 542 clients it reported in March 2019. At the time, while the bank saw its client base grow between November 2018 and March 2019, the assets it held shrank marginally, falling from nearly $1.6 billion to $1.5 billion in the last quarter of 2018.
In September’s filing, these numbers grew again, holding $1.55 billion in deposits.
SIlvergate priced its stock pricing at $12 per share on Nov. 6, and is planning to offer 3,333,333 shares of Class A common stock. Just under 1 million of these shares are being offered directly by Silvergate, while shareholders are offering the other 2.5 million, according to a press release.
These numbers are more conservative than an updated S1 filing dated late October 2019, where the company priced each share at a maximum of $15 and sought to raise roughly $65 million overall. If it sells the 3.3 million shares for $12 each, the company will more likely raise approximately $40 million.
The bank is hoping to sell these shares under the “SI” ticker by Nov. 12.