Education

Wintermute Asia Executes Inaugural Options Block Trade

Published on November 21, 2023

Wintermute
Asia Pte. Ltd, the digital asset derivatives trading arm of the Wintermute
Group, an algorithmic trading firm in the digital assets space, has executed
its first options block trade through CME Group. The BTC/USD block trade,
facilitated between Wintermute Asia and TP ICAP, was successfully cleared by
ABN AMRO Clearing Bank N.V.

As
institutional demand for secure and alternative methods to gain exposure to
digital assets continues to rise, Wintermute Asia has been enhancing its
derivatives product offerings. The integration with CME Group represents a step
in this direction. Currently, Wintermute Asia provides vanilla options in BTC,
ETH, and a range of altcoins, which expire between 1 day and 6
months. The platform also offers exotic options.

Evgeny Gaevoy, CEO, Wintermute Group, Source: LinkedIn

Evgeny
Gaevoy, the CEO of the Wintermute Group, commented: “Wintermute Asia is excited to
offer a range of OTC derivatives solutions to our counterparties that can
accommodate all of their trading needs. Our growing suite of derivative
instruments allows investors to easily hedge and manage risks, generate yield,
and gain synthetic exposure to the underlying digital assets.”

“An
increasing number of institutional leaders are actively broadening their
portfolios by extending their presence within the digital asset sector and
Wintermute is well positioned to play an active role in facilitating trading
activity. Our integration with CME reflects the growing importance of
established exchanges in digital markets, and we are excited to partner with
them.”

Sam Newman, Digital Assets Head of Broking, TP ICAP, Source: LinkedIn

Giovanni
Vicioso, the Global Head of Cryptocurrency Products at CME Group, commented on the
partnership with Wintermute Asia: “We are pleased to provide
Wintermute and its counterparties with access to our highly liquid, regulated
suite of benchmark cryptocurrency futures and options on bitcoin and
ether.”

Sam
Newman, the Digital Assets Head of Broking at TP ICAP, commented about
collaborating with Wintermute as another participant in block trading CME Group
cryptocurrency products. He conveyed that TP ICAP has been delivering digital
assets broking services since 2020, leading in price discovery and liquidity
through global coverage on regulated exchanges. Newman finds it fantastic to
witness crypto-native firms like Wintermute accessing traditional products and
services, solidifying the belief that the maturation of this market is gaining
momentum.

CME
Group’s BrokerTec Stream Upgrade

Finance
Magnates reported earlier that CME Group had announced plans to upgrade its
BrokerTec Stream from version 1.5 to 2.0 on June 4, 2023, aiming to deliver better
performance and minimal latency for clients. The upgraded platform, which
offers a price streaming service for US Treasuries, will introduce features
such as sweepable matching and firm price improvements. This enhancement
follows the launch of a new trading platform by BrokerTec Americas LLC, a
registered broker-dealer, offering faster market data and improved processing
times.

The
CME Group’s notice additionally outlines additional plans, including the integration of
CME STP to support BrokerTec Stream 2.0 and the launch of CME STP FIX, both
with enhancements for trade capture reports and party roles. These updates are
scheduled for the same day as the BrokerTec Stream 2.0 upgrade.