Wall Street banks and hedge funds have transformed cryptocurrency price volatility into complex transactions worth approximately $530 million through structured financial instruments. This move aims to provide institutional investors with controlled exposure to crypto assets. In July, Jefferies Financial Group issued the first U.S. structured note linked to BlackRock's Bitcoin ETF. Following this, at least three other banks, including Goldman Sachs, Morgan Stanley, and JPMorgan, have launched similar products. Market observers note that these offerings indicate a rapid "financial engineering" approach by traditional finance to absorb crypto risks, though they also increase structural complexity and potential systemic risks.
Wall Street Banks Convert Crypto Volatility into $530 Million Structured Deals
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