ReserveX launches crypto derivatives for sophisticated investors

ReserveX, a Singapore-based digital asset firm, has launched a crypto derivatives offering for high-net-worth individuals, family offices and wealth managers, extending structured investment strategies to Bitcoin, Ethereum and other major digital assets.

The firm serves eligible investors globally, subject to applicable jurisdictional restrictions, offering alternatives to buying and selling cryptocurrencies on the spot market.

Nicholas Xu, Derivatives Sales Lead at ReserveX, said: “Digital asset investors have become much more discerning in how they think about their portfolios. For many, the question is no longer simply whether to own Bitcoin or other digital assets, but what they can do with those holdings through different market conditions. “Many of these strategies have been established in traditional financial markets for years.

ReserveX is applying them to digital assets, giving sophisticated investors more choice in how they pursue returns from existing holdings, build positions or manage their exposure.”

ReserveX’s offering includes Accumulators, which allow investors to progressively build their holdings at predetermined prices; Decumulators, which can be used to gradually sell down a position; and Covered Calls, which can generate income from digital assets they already hold.

Fixed Coupon Notes provide the potential for a predetermined return under specified market conditions, while bespoke structures can be developed around an investor’s portfolio objectives and market outlook. Unlike spot trading, where an investor buys or sells a digital asset at the prevailing market price, derivatives allow transactions to be structured around particular prices, timeframes or market outcomes. As investors build larger and more established portfolios, derivatives can provide additional ways to manage how they enter and exit positions, and respond to different market conditions.

While this provides greater flexibility in portfolio management, investors also have to navigate additional complexity and mitigate risks. Through its OTC desk, ReserveX works directly with clients to understand their objectives and structure transactions accordingly. Dedicated relationship managers support clients throughout the process, from onboarding and structuring through to execution and settlement.

Re-disseminated by Wealth and Society