Hidden Road Expands Prime Brokerage Services with OTC Crypto Options

Hidden Road has broadened its prime brokerage offerings by introducing over-the-counter (OTC) options for digital assets. This move enables institutional clients to execute OTC options while leveraging cross-margining with their existing crypto portfolios.

The launch partners, QCP and BlockTech, will provide liquidity and facilitate access to structured and derivatives products. "Options trading in digital assets has been constrained by bilateral credit risk and the absence of cross-margining. We’re changing that," said Michael Higgins of Hidden Road. The firm claims to be the first prime broker supporting cross-margining across all major digital asset products.

Prime brokers like Hidden Road are gaining traction as they cater to hedge funds, banks, and private equity firms with services spanning trading, custody, and lending. The company clears $3 trillion annually and serves over 300 institutional clients. Notably, Ripple agreed to acquire Hidden Road earlier this year.