Crypto Market Structure Criticized by Wintermute CEO as Fundamentally Flawed
Wintermute CEO Evgeny Gaevoy has ignited a debate about the structural integrity of crypto derivatives markets, arguing that the core issue lies not with perpetual futures themselves but with the centralized architecture of major trading venues. "The real problem is exchanges acting as prime broker, central limit order book, and custodian all in one," Gaevoy stated, suggesting traditional finance resolved these conflicts of interest decades ago.
The critique focuses on vertically integrated platforms—both centralized and so-called decentralized—where multiple critical functions collapse into single points of failure. During market stress, this consolidation creates systemic risks that mirror vulnerabilities exposed in the March 2020 crash. DeFiance Capital's Arthur Cheong echoes these concerns, identifying derivatives product design as the industry's primary growth constraint.
