Two of the world’s leading financial institutions, DBS Bank and Goldman Sachs, have completed the first interbank over-the-counter transaction for Bitcoin and Ethereum options, signaling a significant step towards the institutionalization of digital asset risk management.
The landmark deal involved cash-settled options for Bitcoin (BTC) and Ethereum (ETH), designed to help platforms offering crypto-linked products efficiently manage their exposure risks. This direct trade between the two banking giants highlights the growing maturity of the digital derivatives market.
The banks announced the transaction in a press release on Tuesday, emphasizing its role in bringing traditional risk management practices to the cryptocurrency sector. DBS, Asia’s premier financial services group, and Goldman Sachs, a global Wall Street powerhouse, called the move a foundational step for an interbank market for cash-settled crypto options.
This development comes amid increasing demand for digital asset derivatives, which give holders the right, but not the obligation, to trade an underlying asset at a predetermined price within a specific timeframe.
DBS reported that its clients executed over $1 billion in crypto-linked options and structured notes in the first half of 2025 alone. This volume reflects a 60% growth between the first and second quarters of the year.
Jacky Tai, Head of Trading and Structuring in DBS’s Global Financial Markets, said professional investors are seeking secure platforms for digital asset portfolios. He added that the operation with Goldman Sachs demonstrates how banks can apply their strong credit ratings and structuring capabilities to the digital asset ecosystem.
Max Minton, Head of Digital Assets Asia Pacific at Goldman Sachs, highlighted the potential for market expansion. He noted that the transaction points to the development of an interbank market for cash-settled OTC crypto options, an area expected to see continued growth as institutional investors become more active.
DBS has been a pioneer in offering regulated cryptocurrency services in Asia. Goldman Sachs has led the integration of digital derivatives for institutional clients globally, including options, swaps, and structured notes.
This collaboration validates the rising demand for hedging tools in the crypto space. It also positions Asia as a key region in the convergence of traditional finance and blockchain technology. Industry experts view this as an indicator of the sector’s maturity, where options are becoming standard for mitigating volatility without requiring physical delivery of crypto assets.
Both banks reminded investors of the importance of carefully assessing the risks associated with crypto-linked products. This precedent could lead to a boom in the interbank digital derivatives market in the coming months, attracting more global institutions.