The post DBS and Goldman Sachs Lead First-Ever Interbank OTC Crypto Options Trade appeared first on Coinpedia Fintech News
The gap between traditional banking and digital assets is lately getting smaller.
In a significant move, two major banks completed a first-of-its-kind trade which shows how actively the financial institutions are engaging with crypto.
First-Of-Its-Kind Crypto Trade
DBS, one of Asia’s leading financial services groups, and Goldman Sachs, a leading global financial institution, successfully carried out the first-ever over-the-counter (OTC) cryptocurrency options trade.
The transaction involved trading cash-settled OTC Bitcoin and Ether options. These transactions allow firms offering crypto-linked products to better manage the risks tied to their digital asset holdings. OTC transactions are trades made directly between two parties, rather than through a public exchange.
The participation of such well-capitalised, trusted banks in such a trade is a major milestone for digital assets in the region.
DBS Sees Surge in Crypto-Linked Trades
This comes amid a rising demand for cryptocurrency-linked products with more accredited and institutional investors considering exposure to digital assets.
In the first half of 2025 alone, DBS clients traded over USD 1 billion in crypto options and structured notes, with volumes jumping nearly 60% from Q1 to Q2.
Jacky Tai, Group Head of Trading and Structuring at DBS, notes that more professional investors are looking for safe and reliable platforms to invest in digital assets. And in response, these platforms are working to strengthen their risk management and governance.
The recent trade also shows how these platforms can benefit from banks’ strong credit standing and structuring expertise, helping to bring the trad-fi practices into the digital asset space.
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A Key Step Towards Interbank Crypto Market
Max Minton, Head of Digital Assets for Asia Pacific at Goldman Sachs, said this trade marks an important step in developing an interbank market for cash-settled OTC crypto options. He also expects this segment to grow as more institutional investors enter the space.
In September, DBS teamed up with Franklin Templeton and Ripple to offer accredited and institutional investors the ability to trade and lend using tokenised money market funds and Ripple’s U.S. dollar-backed stablecoin.
Last year DBS revealed plans to offer OTC crypto options and structured notes to eligible institutional and accredited investors, becoming the first Asian bank to do so.
As more institutions join in, crypto and traditional banking appear to be teaming up strongly to create a more stable and mature digital asset market.
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FAQs
DBS and Goldman Sachs completed the first over-the-counter (OTC) crypto options trade involving Bitcoin and Ether, marking a major industry milestone.
An OTC crypto options trade is a private agreement between two institutions to buy or sell crypto-linked contracts without using a public exchange.
DBS saw over $1 billion in crypto-linked trades this year and is partnering with firms like Ripple and Franklin Templeton to offer tokenized products.
It gives institutions safer, regulated ways to trade and hedge crypto exposure while benefiting from traditional banks’ expertise and governance.
