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Blockchain analytics firm Arkham Intelligence is planning to launch a cryptocurrency derivatives market in November, according to insiders revealed to Bloomberg. The exchange is expected to primarily serve retail traders, putting Arkham in direct competition with established platforms such as Binance.
Arkham has not been licensed for its operations but is in the process of doing so in the Dominican Republic, where it plans to operate. The company’s expansion to offer its services in the crypto derivatives market has been made at this stage, where retail traders have increased participation.
Data indicates that the trading volume of crypto derivatives rose to more than $3 trillion in September, more than double the figure for the same period last year.
Significant growth has been realized in the market of crypto derivatives, with a growth of trading products and platforms. Some of these markets are famous global markets, including the Chicago Mercantile Exchange (CME) and Coinbase.
In late September, CME rolled out its Bitcoin Friday Futures (BFF) contracts, indicating that over 31,000 contracts were traded during the first trading day of two contract weeks. The BFF contracts, developed as options for SME trading, are expressed at one-50th of a Bitcoin, catering to mass traders.
Coinbase has also introduced "nano" Bitcoin futures contracts, one-100th the size of Bitcoin, as a gateway for individual investors to invest in fluctuating Bitcoin prices. Furthermore, derivatives products have emerged, including crypto tokens, such as PEPE and FLOKI, that are traded on Crypto.com, among others.
Initially established in 2020, Arkham Intelligence has established itself as a recognizable entity in the blockchain sphere for its on-chain data analysis resources. The firm’s platform is popular among analysts, journalists, investigators, and specialists requiring information about blockchain transactions and individuals linked to different crypto wallets.
Apart from the Arkham Analytics platform, the company has its token, ARKM. The token, however, has been volatile in recent weeks, rising 21.2% in one week following rumors that the company is planning to enter the derivatives market. Even though the price of the ARKM token dropped by 2.3%, it is still an essential element of Arkham, and the coin has a market capitalization of $493 million.
