Arrow Markets has recently launched a new platform dedicated to trading non-U.S. crypto options. The goal is to streamline the trading process for international users, filling a gap in the market similar to the role Robinhood plays in the U.S. for stock options trading, with a specific focus on the defi sector.
Backed by Framework Ventures, Delphi Ventures, and Blizzard the Avalanche Ecosystem Fund, Arrow Markets aims to capture a significant share of the defi options market. The platform operates on Avalancheβs C-chain and introduces a Request-for-Execution (RFE) system, which enhances the traditional Request-for-Quote (RFQ) approach by leveraging blockchain technology to ensure more efficient options pricing and reduce counterparty risk.
One of the key features of Arrow Markets is its user-friendly interface, especially the ‘lite mode,’ which guides users through selecting options and strategies based on their market outlook and preferences for the underlying asset, such as Ethereum (ETH).
Additionally, Arrow Markets places a strong emphasis on education and practice for traders of all levels of experience. The platform provides extensive resources and a testnet environment for risk-free trading practice.
Edward Mehrez, co-founder of Arrow Markets, explained, “This means that market makers are exposed to far less stale quote risk, allowing them to quote βtighter bid-ask spreads,β while giving users control over how much βslippageβ they are comfortable with over the reference quote. Itβs a win-win for both sides.”
Roy Learner, Partner at Framework Ventures, expressed excitement about the project, stating, “We are excited to back Arrow Markets to help fuel the growth of the on-chain options market. Arrowβs design will simplify the options trading experience, making it easy for retail and institutions alike to trade and settle any options strategy on-chain.”
In conclusion, Arrow Markets’ innovative platform and user-centric approach are set to revolutionize the non-U.S. crypto options trading landscape, offering a seamless and efficient trading experience for both beginners and seasoned traders.