BTCWith an increase in the number of retail investors dabbling in derivatives trading and investors hopping into decentralized exchanges (DEXs) due to regulations in the United States and China, there has been a rise in users utilizing derivatives DEXs, with Bitcoin (BTC) whales moving into derivatives and an increase in buying interest in derivative contracts.
This has created a surge in the daily trading volume for derivatives protocols, allowing them to briefly take over centralized finance platforms such as Coinbase (NASDAQ:COIN), which sparked interest in retail investors with regard to moving towards derivatives trading in decentralized finance (DeFi). However, without a proper introduction to derivatives in DeFi, new investors are likely to hop off derivatives trading as quickly as they hopped on.