While volatility is likely to continue for contracts with short term expiries, Gromniak attributes surging interest in his longer-dated products to investors trying to hedge their long-term exposure. Contracts with longer expiry dates, such as in two years’ time, are not influenced by market downtrends such as the one sparked by the coronavirus, he said.
Previously, exchanges OKEx and FTX had the longest-reaching contracts that expired in December 2020. The longest contracts available on Deribit lists expire in September. Gromniak said Quedex would consider adding contracts with even longer expiration dates, but added the company would wait to see first if there was sufficient demand from the market.