The Crypto Options Market Is Changing #123

In this week’s episode of Crypto Options Unplugged, Imran Lakha is joined by Jake, Head of OTC Trading at Wintermute, for a deep dive into the macro and volatility forces shaping crypto markets.The conversation starts with rising US long-end yields, uncertainty around the Fed’s reaction function, and the growing importance of Japan and coordinated FX intervention. They discuss why the bond market remains under pressure even as expectations for further Fed hikes fade, and what that means for broader risk assets.The discussion then turns to the AI trade, where leverage, forced liquidations and crowded positioning have driven extreme moves across equities. From there, Imran and Jake explore why crypto has struggled to capture the same attention, despite continued development and adoption across the digital asset space.Jake also gives an inside view of the crypto OTC options market, including the surprising strength of HYPE options activity, persistent overwriting in Bitcoin and Ethereum, and why both realised and implied volatility remain heavily compressed. They debate whether this low-volatility regime is simply the new normal or whether it could be setting the stage for a much larger move.Finally, they look at the long-term evolution of crypto derivatives, why Bitcoin’s lack of native yield could support further growth in options markets, and whether crypto options may eventually become large enough to influence spot prices themselves.#crypto #trading #cryptocurrencynews #podcast