Strands Technologies has reached a milestone of over $6 billion in tokenized notional by integrating Derive.xyz, a leading decentralized protocol for on-chain derivatives. The new partnership comes at a time when trust in the space has been shaken by the past collapse and continued aftershocks of major players like Celsius Network, FTX, and Three Arrows Capital.
The deal could even represent a broader shift in the market toward more transparent and sustainable yield strategies.
Derive.xyz’s ability to tokenize institutional funds and bring traditional financial assets onto the blockchain marks a pivotal moment in the convergence of traditional finance (TradFi) and DeFi. This strategic integration allows Strands’ clients to tap into on-chain perpetual futures and options, powered by Ethereum Layer 2, offering them transparent, secure, and highly composable execution solutions.
The collaboration with Derive.xyz is designed to unlock new opportunities for traders and hedge funds while offering a bridge between the regulated, traditional financial infrastructure and the decentralized finance ecosystem.
“Partnering with Derive.xyz is a pivotal step in expanding what’s possible for institutional traders,” said Tim Gorham, CEO of Strands. “As we pass $6 billion in tokenized assets, integrating onchain perpetuals via Derive’s battle-tested protocol gives our clients an edge in strategy execution, while maintaining full transparency and settlement confidence.”
This integration highlights the growing influence of platforms like Derive.xyz, which have processed over $15.8 billion in total volume and executed over 2.5 million trades, solidifying its leadership in on-chain options.
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On-chain perpetual futures
As DeFi platforms increasingly align with institutional-grade infrastructure, the addition of on-chain perpetual futures to Strands’ ecosystem looks to reinforce the convergence of traditional finance and decentralized finance.
“Strands’ focus on institutional-grade infrastructure and efficient execution aligns well with the growing needs of institutional investors in the DeFi space,” said Nick Forster, Founder of Derive.xyz. “This partnership marks an important step in bridging the gap between traditional and decentralized finance, expanding access to advanced decentralized derivatives and ensuring a more secure, efficient, and transparent trading environment.”
The integration of tokenized derivatives into the DeFi ecosystem presents new opportunities for execution precision and capital efficiency. Platforms like Strands, with their full-stack approach, could even play a key role in shaping the future of decentralized financial products.
With its innovative approach to tokenized CME futures and the growing presence of real-world assets (RWAs) in the DeFi space, Strands is positioning itself at the forefront of the digital asset market, in alignment with projections for a $10 trillion tokenized market by 2030.
