Latest Wall Street Crypto Fever Drives OTC Trading to Double in 2024 in Cryptocurrency

Cryptocurrency 2025-01-10T15:56:39.460+02:00 F r i d a y , 1 0 / 0 1 / 2 0 2 5 | 1 3 : 5 6 G M T by Damian Chmiel In the same time frame, stablecoin transactions grew 147% year-over-year, according to the Finery Markets report. The market expects accelerated institutional adoption in 2025, supported by favorable regulatory developments and expanded financial products. Thecryptocurrency over-the-counter (OTC) market experienced unprecedented growthin 2024, with trading volumes more than doubling amid strong institutionaladoption and favorable market conditions. Total OTCtrading volume surged 106% year-over-year, while stablecoin transactions saw aneven more dramatic increase of 147%, according to a comprehensive analysis of 4million spot trades conducted by Finery Markets. From Skeptics toBelievers: Wall Street’s Crypto Evolution Thelandscape of institutional crypto trading transformed dramatically throughout2024, culminating in Bitcoin’sbreakthrough above $100,000 in December. This milestone coincided with thesuccessful launchof Bitcoin and Ethereum ETFs, which proved transformative for the marketstructure. Notably, U.S. Bitcoin ETF inflows surpassed those of gold ETFs,marking what Finery Markets describes as “the most successfulexchange-traded product launch in history.” Traditionalfinancial institutions demonstrated a significant shift in their approach todigital assets, moving from skepticism to acceptance. The fourth quarterparticularly highlighted this transformation, as post-election sentiment droveremarkable growth across all major cryptocurrencies. Bitcoin trading expandedby 80% year-over-year, while Ethereum volumes surged by 187%, and stablecoinactivity grew by an impressive 191%. Quarterly Performance andRecord-Breaking Periods The yearshowed consistent growth momentum, with each quarter presenting uniquedynamics. The fourth quarter emerged as the strongest performer, achieving a 177%year-over-year growth in total OTC volumes. “Q4trading activity significantly outpaced all other quarters. Q2,benefiting from the successful BTC ETF launches, was the only other quarterto achieve triple-digit growth at 110%. Q1 and Q3 followed with growth rates of80% and 78%, respectively,” Finery Marketsadded. The companyrecentlyrevealed that it partnered with Wintermute, a global algorithmic tradingfirm, which in November 2024 completed the first RFQ trade on Finery Markets’ crypto ECN platform. Konstantin Shulga, CEO and Co-Founder of Finery Markets “The institutional surge came as no surprise to us, as we designed our trading infrastructure from the start to meet the needs of institutional players, anticipating wider adoption,” Konstantin Shulga, Finery Markets CEO and Co-Founder, commented for Finance Magnates. Stablecoins Reshape GlobalFinance Stablecoinscemented their position as the crucial bridge between traditional and digitalfinance in 2024. Transaction volumes surpassed those of Visa, demonstratingtheir essential role in facilitating global business operations. The 147%year-over-year growth in stablecoin transactions underscores the limitations oftraditional banking infrastructure in meeting modern market demands. “Transactionvolumes exceeded those of Visa, underscoring their utility in the fast-pacedglobal business environment and exposing the limitations of legacy bankinginfrastructure in meeting growing market demands,” the report further said. Altcoin Renaissance Theinstitutional appetite for altcoins also showed expansion, with their marketshare more than doubling to 29% of total trading volume,  » …

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Carla Contass

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