Some of the biggest names in blockchain have thrown their weight backside a new cryptocurrency derivatives exchange, signaling that the next bull marketplace could be driven by institutional investors.

Crypto derivatives platform Globe has raised $3 one thousand thousand in seed investments to launch its Earth Derivative Substitution. The new platform is aimed at bringing institutional investors into the earth of cryptocurrency. Early-stage investors in the new venture include billionaire Tim Draper, blockchain investment fund Pantera Capital and venture capital firm Y Combinator.

Pantera executive Paul Veradittakit cited growing institutional involvement in crypto every bit one of the primary reasons why his company decided to invest in Earth.

In a quote shared with Cointelegraph, Veradittakit said:

"We're seeing a moving ridge of interest in crypto assets from major banks, fintech companies, and portfolio managers. World has built the platform and products that these sophisticated market players demand and await. […] We're excited to support the Globe team in delivering a next-generation platform for the crypto fiscal organization."

Earth has adult its own matching and risk engine, which it calls Thor. The company claims that Thor was congenital by engineers from major financial services firms including JPMorgan Chase, BofA Securities, Citibank, UBS and Getco.

Trading in crypto derivatives has exploded this twelvemonth, with the likes of BitMEX, HuobiDM, OKEx and Binance futures seeing a large uptick in volumes. The derivatives surge is but 1 of many means the digital asset industry has evolved from merely three years ago.

A recent report from cryptocurrency exchange Kraken finds that derivatives are "at present at least 4.6x the size of spot volume" and that this trend is expected to go on.

Kraken says the use of leverage is one of the biggest draws of derivatives platforms. On its official website, Earth claims to offering free leverage of upward to 100 times.