BlockFills and CoinDesk Indices Introduce Options Market for CoinDesk 20 Index
BlockFills, a digital asset trading and technology firm focused on institutional clients, has teamed up with CoinDesk Indices to introduce options tied to the CoinDesk 20 Index (CD20), a benchmark measuring the performance of top digital assets.
Launched a year ago, the CoinDesk 20 Index tracks the performance of key cryptocurrencies, expanding offerings beyond just Bitcoin (BTC) and Ether (ETH). The addition of options to the index provides traders with more ways to engage, allowing them to speculate not just on price direction but also on volatility and timing, boosting professional liquidity in the market.
Options are financial contracts that give holders the right to buy or sell an asset at a predetermined price before or on a specific date. This new product comes amid growing interest in crypto options, especially as institutional investment in Bitcoin and related products like spot ETFs increases.
“As the digital asset space continues to mature, qualified institutional investors are increasingly looking for foundational reference indices to trade, invest in, and measure performance,” said Perry Parker, BlockFills’ Head of Options Trading.
The launch has already attracted institutional interest, with digital asset manager Hyperion Decimus executing the first trade in BlockFills’ CD20 options this month. This is also the first OTC options transaction on a digital asset index with an onshore U.S. counterparty, marking a major step forward in the regulated OTC derivatives market.
Chris Sullivan, Principal at Hyperion Decimus, expressed excitement about the new offering, stating, “The BlockFills CoinDesk 20 Index options market is a unique solution for professionals managing portfolios in the digital asset class. We’re excited to see trading begin.”
Sullivan also pointed out that the lack of a liquid, diversified benchmark prior to the CoinDesk 20 Index partially explains why options on such an index hadn’t been traded until now.
