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In the Cryptocurrency Domain, What Is a Common Example of an OTC Derivative versus an Exchange-Traded One?

A common exchange-traded derivative is the Bitcoin (BTC) futures contract listed on a regulated exchange like the CME, or perpetual futures on a crypto exchange. A common OTC derivative is a customized crypto forward contract or a bespoke crypto option negotiated directly between a large institution and a crypto desk.

OTC crypto derivatives are often used for large block trades to minimize market impact.

What Is the Difference between a ‘Future’ and a ‘Forward’ Contract?
How Do Futures Contracts Differ from Forward Contracts in Financial Derivatives?
Define a Forward Contract and How It Differs from a Futures Contract
Why Did CME Group Initially Choose a Cash-Settled Model for Their Bitcoin Futures?