BlockBeats News, January 20th, Wintermute OTC released its 2024 Year in Review and 2025 Outlook: In 2024, the U.S. Securities and Exchange Commission (SEC) approved Bitcoin and Ethereum spot ETFs. Combined with the growing bipartisan support for the crypto framework, this eliminated a major barrier for traditional financial participants, leading to unprecedented institutional involvement and capital inflows. This institutional shift was also reflected in the activities of Wintermute's OTC (Over-the-Counter) desk, showing similar growth trends.
A deep dive into the trends that shaped the 2024 market to identify patterns that may continue into 2025. Here is an overview of some key highlights:
· Wintermute's OTC trading volume grew by 313%, surpassing the overall cryptocurrency exchange volume growth of 142%;
· Over 300 new unique trading pairs were initiated;
· The average trade size increased by 17%, reflecting the trend of large block trades by institutions;
· Traditional financial institutions' OTC trading volume grew by 240%;
· Derivatives trading volume grew by over 300%, with Contracts for Difference (CFDs) accounting for 4.3% of Wintermute OTC's total trading volume in just nine months.
It is expected that the institutionalization process in 2025 will accelerate, further highlighting the need for scalable liquidity solutions, a robust derivatives market, and efficient trade execution. Macroeconomic trends and regulatory clarity will shape execution strategies and drive further integration of the cryptocurrency market with traditional financial markets.