Crypto Market Maker Wintermute Mulls Launching Derivatives Exchange After FTX Collapse


  • Wintermute Founder Evgeny Gaevoy suggested that his crypto maker might move to fill in the created by FTX’s collapse.
  • Gaevoy and CEO Marina Gurevich said the company was considering rolling out a derivatives exchange built for professional traders, similar to FTX but with a few changes.
  • Gaevoy suggested segregated customer funds and third-party asset custody as some solutions to prevent another crash.

Wintermute Founder Evgeny Gaevoy might launch a crypto exchange to cater to professional traders after FTX’s collapse in November left a void in the financial derivatives market, Forbes reported. 

FTX rose to prominence partly due to Sam Bankman-Fried positioning the platform as a derivates exchange “built for traders by traders’. The angle propelled FTX towards crypto stardom, growing into one of the largest crypto trading venues with billions in transactions before SBF filed for Chapter 11 bankruptcy on November 11. 

Gaevoy’s Derivatives Exchange Plans

Gaevoy along with Wintermute CEO Marina Gurevich pointed to the intensified workload following FTX’s crash as the company moves to capture market share and fill the boots of Sam Bankman-Fried’s exchanges. 

Gaevoy shared thoughts on running a financial derivatives exchange with standard financial controls and risk management. According to FTX bankruptcy CEO John Ray, the crypto exchange imploded largely due to a lack of risk management and corporate accounting practices,

Founder Gaevoy proposed segregating customer funds from company liquidity as part of an improved system for storing user deposits. Regarding asset custody, the veteran crypto trader said he would adopt a trading architecture similar to traditional financial exchanges. 

This means Gaevoy is a proponent of leveraging outside entities and third-party service providers to custody assets, as opposed to dedicating resources towards building in-house crypto asset custody solutions. Gaevoy disclosed his company’s approach to the current market conditions as well. 

We’re basically preparing for the next 2021 at the moment. We don’t necessarily care about making the most now because it’ll be just a tiny fraction of the bull markets that can come.

Crypto Market Maker Wintermute Mulls Launching Derivatives Exchange After FTX Collapse 11
Founder Evgeny Gaevoy and CEO Marina Gurevich. Image: Forbes

Wintermute Granted Seat On FTX Creditors Committee

The crypto market maker was appointed to the FTX Unsecured Creditors Committee by the bankruptcy court. Indeed, the judge named Winter, Genesis-backed entity GGC, and seven others to the committee. 

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