BlackRock’s iShares Bitcoin Trust (IBIT) has now officially become the largest Bitcoin option venue, surpassing Delibit. This is a big deal for the world of bitcoin derivatives, as Wall Street’s influence is clearly expanding into regions that were once the territory of offshore exchange.
According to Bloomberg, IBIT’s open interest in options reached nearly $38 billion after the expiration of his final contract. Delibit was about $32 billion.
It’s a big jump considering IBIT only started trading options in November 2024, and Deribit has been a bit of a swap for Bitcoin derivatives since 2016.
IBit’s growth was historic. By mid-2024, ETFs had already reached $70 billion in assets under management (AUM) on 341 trading days, but ETFs have made it faster so far.
Related: BlackRock’s IBit Breaks Records reach $70 billion in AUM in 341 days
A month later, IBIT passed $80 billion in AUM, breaking speed records compared to older giants like SPDR Gold stocks and Vanguard’s S&P 500 ETF. Today, IBIT manages around $87 billion, making it the world’s largest Bitcoin ETF.
IBIT’s rapid growth is part of a bigger story. It is a transition from an offshore hub for Bitcoin trading to a regulated US-based market.
For years, platforms like Deribit thrived with leverage and risky trading, becoming the leading hub of Bitcoin options. However, its advantage is now challenged by Wall Street-backed products like IBIT, which have regulations, reliability, and large institutional capital.
This is a big deal. IBIT is a big deal as it created a feedback loop that attracts more fluidity and further strengthens its position.
George Mandres, senior trader at XBTO Trading, told Bloomberg that Wall Street’s involvement is changing the Bitcoin market.
Traditional financial involvement, he said, brings “substantial capital and trading expertise.”
Mandres even believes that the presence of large institutions will reduce the extremes of Bitcoin’s famous price fluctuations.
DeLibit remains a major player in the market. The platform, which was acquired by Coinbase in August 2024 for around $2.9 billion, attracts native Bitcoin traders who prefer an offshore, flexible environment.
Analysts believe the rise of IBIT has not hurt Deribit. Instead, they created new opportunities. IBIT’s US-based product has opened the door for retail investors and institutions who previously had or didn’t want to access DeRibit.
It is also worth noting that this situation has created opportunities for arbitrage and has improved risk management.
This is something many consider to be the future. It’s two parallel ecosystems.
One is for institutional investors and US retailers who want to have regulatory products like IBIT, compliance and monitoring. The other is offshore for those who want higher risk, more leverage, and experimental financial products.
