This week, Wintermute reported that institutional investors have dominated spot OTC crypto flow, accounting for 72% of transactions in the first half of 2026, up from 59% a year prior. This trend is leading to increased concentration of liquidity into fewer tokens and reduced volatility as institutions use derivatives and limit their exposure to altcoins.
The shift towards fewer unique tokens traded by institutional counterparts has seen an increase of 24% between 2024 and 2026, indicating a preference for established cryptocurrencies. Meanwhile, the notional volume of Bitcoin options on Wintermute’s platform surged threefold from the second half of 2025 to the first half of 2026, reflecting a growing confidence in this market leader.
These changes underscore a significant shift in how institutional investors manage their crypto exposure, highlighting the increasing role of derivatives and hedging strategies in managing risk within cryptocurrency markets.
Written by Oliver Grant
Markets Desk
