CEO of Delta crypto exchange, Pankaj Balani has said that the crypto derivatives market is about to be the next big thing.
The recent weeks have seen a massive increase in the buzz surrounding the crypto derivatives market even though they have somewhat stagnated like the spot market.
The volatility that rocked the price of Bitcoin made investors abandon the market to move to other buzzing altcoins. As a result of that, the altcoins derivatives market was created as investors began to invest in the market.
Talking about the previous trends to the present trend in the crypto derivatives market, Pankaj Balani, who is the CEO of derivatives firm, Delta Exchange spoke to reporters. Mr. Balani was able to give useful information about the development of the market.
The Crypto derivatives market is bigger than the most equity market, Pankaj notes
In Pankat’s words, he correctly pointed out that a look into the crypto derivatives market will tell one a lot about the current market. He attributed the market’s current success to the massive growth it has undergone in the past two years while stating that the market is building from it.
The CEO said he was able to reach that conclusion because he compared the recent trends in the crypto derivatives markets to other markets.
In his example, he mentioned the equity markets and how its market cap is abysmally low at $80 trillion compared to that of derivatives markets, which is about $800 trillion.
CEO says the market will still undergo more growth
In another example, he mentioned that FX markets boast of only around $2 trillion of trade volume daily. In comparison, FX generators took theirs up a notch to post a daily return of around $4 trillion.
His primary conclusion was that the crypto derivatives market is about five times bigger than all other significant asset markets. Even though he said the market had enjoyed massive success, he positioned that room for growth was still needed as the market still needs to reach its full potential.