Derivatives Market Embraces AI and Tokenization Amid Record Volume Projections

Global derivatives markets are poised for record trading volumes by 2025, driven by tariff-induced volatility and structural tailwinds. A Crisil Coalition Greenwich study reveals 70% of 263 market participants anticipate sustained growth, with operational risks escalating as new regions integrate into market infrastructure.

"Capacity constraints demand innovative solutions," says Stephen Bruel, author of the report. Persistent trade uncertainties and geopolitical tensions are expected to maintain elevated volatility, fueling hedging demand and volume expansion.

The industry is turning to disruptive technologies to scale operations. 35% of surveyed firms identify generative AI as critical infrastructure, while nearly a third pin their hopes on tokenization for collateral management efficiency.