Derivatives Giant Embraces the Crypto Clock https://t.co/7cmBfAO7Ky ...

Ethena's Core Strategy - Ethena is reimagining stablecoins by designing USDe to generate yield for traders using it as collateral across major exchanges [1] - The protocol employs a delta-neutral strategy, using crypto collateral and short positions to maintain USDe's peg [2] - Ethena generates yield from funding rates and staking rewards, passing these on to sUSDe holders, resulting in a 19% average return in 2024 [3] USDe's Unique Positioning - USDe differs from traditional stablecoins like USDT and USDC, focusing on yield generation and capital efficiency rather than payment velocity [3][4] - Approximately 78% of USDe is positioned to earn yield, with 42% in the sUSDe staking contract and 26% in centralized exchanges [5] - During market crashes, Ethena retained an average of 762% of its TVL, exceeding blue-chip lending protocols like Aave at ~62% [5] Derivatives Market Focus - Ethena's primary growth strategy is to become the default collateral for derivatives trading, which accounted for 68% of all cryptocurrency trading in 2024 [7] - USDe offers capital efficiency by allowing traders to cover trading costs with yield and build collateral buffers automatically [7][8] - Major exchanges like Bybit, Deribit, MEXC, Gate, Binance, Kraken, and Coinone have integrated USDe as collateral [8] Regulatory Strategy - Ethena is building inroads with TradFi through USDtb, which is backed by tokenized U S Treasuries [9][10] - USDtb offers regulatory clarity for institutional players, aligning with current and proposed regulatory standards [10] - USDtb accounts for approximately 125% of Ethena's total stablecoin supply, serving as a bridge to traditional finance [11]

Core Insights - The Financial Accounting Standards Board (FASB) has issued updated guidance on derivatives accounting, marking the seventh standards update of the year [3][7] - The update aims to refine the definition of derivatives, addressing concerns that current guidance leads to misclassification of financial instruments [4][5] - The new guidance will be effective for annual reporting periods beginning after December 15, 2026, and will clarify the scope of existing standards [7] Derivatives Accounting Update - The update comes after a two-year period since FASB added the project to its high-priority agenda, indicating a need for clearer guidance [4] - FASB member Frederick Cannon highlighted that the existing guidance was not intuitive and resulted in many assets being classified as derivatives incorrectly [4] - The board is addressing "scope creep," where companies classify too many items as derivatives, which can obscure the economic reality of financial situations [5] Specific Exemptions - The new derivative accounting guidance will not apply to certain financial instruments related to environmental, social, and governance (ESG) arrangements, as well as specific research and development (R&D) and litigation funding contracts [7] - The complexity of current derivative standards arises from criteria that include financial arrangements with underlying variables affecting fair value, such as litigation outcomes [6]

🚀 From meme legends to 100x gems hub, we’ve crossed 20 MILLION+ users 🌍🎉🔥 LBank Performance Snapshot 🔥💰 $8.5B daily volume📈 TOP 4 in derivatives📊 130 percent average gains for new assets🛡️ 100 million dollar futures protection fund🌐 160 plus countries servedThe future is bright ✨ Let’s keep building 💪#LBank #CryptoExchange #100xGems #LBankPerformance ...

A subsidiary of India’s leading bourse will launch options expiring daily, capitalizing on the growing spotlight for a market that has become the world’s biggest for derivatives https://t.co/nIBxlQmeNw ...

Market Trends & Investment Opportunities - Options and derivatives are expected to potentially drive Bitcoin to a $10 trillion market capitalization [1] - Solana ETF approvals are anticipated possibly by mid-October [1] Technology & Infrastructure Development - SWIFT is developing a stablecoin-like token and on-chain messaging system with Linea [1] - Circle is planning an on-chain refund protocol for the Arc blockchain [1] Risk Assessment - Crypto treasury companies are facing risks similar to the dotcom bust of the 2000s [1]

Another significant milestone for @cryptocom as we have received approval from the @CFTC for derivatives licenses in the United States for margined derivatives.Read more here 👇 https://t.co/MTpEZo5fmf ...

📤 Reporting instructions & XML schema for weekly reporting of commodity #derivatives positions (#MiFIDII) → https://t.co/c1VZH0P5Qg✅ requirement to publish 2 weekly reports✅ exclusion of (spot) emission allowances✅ harmonisation of reporting units for energy derivatives https://t.co/ZIBb6Uiy3b ...

CFTC launches tokenized initiative allowing derivatives traders to post stablecoins as collateral https://t.co/3v1njEVcX3 ...

Market Trend - BlackRock's BUIDL is now tradable collateral on Deribit and other platforms [1] - $1.94 billion earning 4.5% treasury yield can now margin trade derivatives without selling [1] - Institutions can now leverage their assets without selling them [1] Risk Analysis - Only 1,000 holders control this entire market [1] - The concentration creates an opportunity [1]