Our weekly crypto derivatives analytics report delves into macro events; the current state of crypto and trading signals from spot trading volume; and futures, options and perpetual contracts.

After mostly trading sideways at the end of April 2025, a US-UK trade deal sparked a crypto rally. BTC surged past $100K for the first time since February, but it’s ETH's performance that captured the derivatives market's attention. 

A 23% increase in ETH's spot price led to an inverted term structure and a spike in front-end volatility. The put/call skew for ETH shifted from a bearish bias to a nearly 10% skew toward OTM calls. Other sentiment indicators, such as perp funding rates and futures yield, also supported the rally. In contrast, while BTC's funding rates and skew have increased, its implied volatility remains low at 40%, over 30 points below ETH's 7-day implied volatility.

Please check out the report’s highlights.

ETH’s record performance since 2021 was propelled by positive term structure

ETH has significantly outperformed BTC and the top 10 cryptocurrencies, marking its largest single-day gain since May 2021. The options market has reflected this enthusiasm, with implied volatility for short tenors rising sharply and inverting ETH’s term structure, thus contrasting with BTC's muted, positively sloped structure. The 7-day tenor for ETH is now trading at a 33-point premium over that for BTC. 

While puts dominate BTC's open interest, ETH is seeing the opposite trend. On May 8, 2025, options volumes surged over $120M, more than double the typical monthly volume, with $60M more in calls than puts. ETH now boasts a positive futures curve and funding rates, as well as a strong skew toward OTM calls.

ETH sees exceptionally bullish put/call skew

ETH's substantial outperformance in the current crypto rally has led to bullish sentiment in its derivatives markets. Funding rates have surged, futures yields are strongly positive and the put/call skew has shifted significantly toward OTM calls, now close to 10%. This starkly contrasts with early April, when the skew was 20% toward OTM puts. Although ETH has underperformed (relative to BTC and other "ETH killers"), it has rebounded in this rally, with the ETH/BTC ratio rising after spending most of the year declining.

Open interest for Bitcoin options increased, with implied volatility remaining suppressed

The announcement of the new US administration's first trade deal, nearly 30 days into Trump's 90-day tariff pause, jolted crypto markets, pushing BTC back up above $100K. Surprisingly, implied volatility has remained suppressed, failing to invert BTC's term structure, with front-end volatility trading at around an 18-month low of 35-40%. On May 8, 2025, options volumes surged, with call volume reaching $189M, reversing last week's trend of higher put volumes. Meanwhile, open interest rose steadily to exceed $300M, the highest level this month, but remains significantly larger for puts than for calls despite the price increase.

Advanced

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Bybit X Block Scholes crypto derivatives analytics report (May 9, 2025): Ether’s put/call skew turns remarkably more bullish than Bitcoin’s

This article explores how Sign works, its flagship products (such as TokenTable, SignPass and EthSign), its native token (SIGN) and how to trade SIGN on Bybit.

Sign is an omnichain attestation infrastructure that empowers users and developers to verify real-world claims on-chain. Built for a more transparent and decentralized future, it eliminates the need to “just trust” and enables everyone to verify with cryptographic proof.

This article explores how Sign works, its flagship products (such as TokenTable and EthSign), its native token (SIGN) and how to trade SIGN on Bybit.

 is an omnichain attestation protocol designed to make it easy for anyone to verify the authenticity of any claim — 

. Whether it’s a document, credential or user identity, Sign transforms traditional trust models into verifiable, cryptographic attestations. 

Sign’s mission is to replace outdated, opaque validation systems with transparent, 

 proof — enabling a future where “verify” replaces “trust.” Through tools like schema registries and digital signatures, Sign empowers users to bring accountability and integrity to digital interactions.

Sign is developed by the team behind EthSign, a 

-native e-signature and agreement platform. Its core team brings deep experience in 

 development and cross-chain integrations.

The project is backed by top-tier investors, including Sequoia Capital China (now known as HongShan Capital Group), Mirana Ventures, HashKey Capital and Hack VC.

This strategic funding positions Sign as a foundational layer in the web3 infrastructure stack.

Sign allows users to create attestations — cryptographically signed statements that prove the validity of claims, such as credentials, achievements or actions. These digital proofs can be verified by anyone at any time, making them tamperproof and transparent.

Sign’s key technical elements include a schema registry that ensures consistent data formatting, digital signatures proving authenticity, and on- and off-chain attestations with support for revocation or updates

This system acts like a programmable layer for web3, bringing a new level of trust to identity, credentials and data exchange.

TokenTable is Sign’s flagship token distribution platform. It helps projects unlock, distribute and manage tokens transparently and securely at scale.

It uses Sign’s attestation engine to verify token unlocks, 

 and vesting schedules, ensuring traceable, auditable token flows.

SignPass is a blockchain-based identity solution that brings real-world credentials on-chain. One notable implementation is the Sierra Leone PR Card, used for the world’s first government-approved on-chain permanent residency program.

SignPass offers encrypted on-chain records for easy 

 verification, physical ID issuance for daily identity use and streamlined digital application systems for cross-border access.

It showcases the way blockchain can modernize public sector services worldwide.

EthSign is a decentralized contract signing platform that lets users create, sign and store legally binding agreements directly on-chain. It removes intermediaries and ensures documents are immutable and accessible.

EthSign reinforces Sign’s mission by bringing traditional documentation into the realm of verifiable web3 attestations.

The SIGN token is the native utility token powering the Sign ecosystem. It’s used for:

The total supply is capped at 10 billion SIGN, with 1.2 billion tokens in circulation. While the fully diluted valuation (FDV) sits above $746 million as of May 7, the circulating market cap is approximately $89.6 million. SIGN continues to gain traction across exchanges and developer networks.

SIGN is available for trading on Bybit via Spot trading and as a USDT Perpetual contract. Bybit offers up to 75x leverage for the SIGNUSDT Perpetual contract and supports secure, high-liquidity spot trading.

Start exploring the future of attestations with SIGN on Bybit today.

Intermediate

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Sign (SIGN): Web3 protocol for trustless attestation

Compliant trading means following platform rules and avoiding manipulative behavior. Learn more about how you can trade responsibly and compliantly on Bybit.

Crypto trading has come a long way from what used to be the domain of institutional players, and is now open to almost anyone with an internet connection. It’s easier than ever to buy and sell digital assets, try new strategies or build a portfolio from scratch all within minutes.

But with that level of access comes responsibility. As more people join the market, the need for fairness and accountability has become even more important. This isn’t just about price charts or profits — it’s about keeping the playing field level for everyone involved.

At Bybit, we take that responsibility seriously. We're here to offer the tools, safeguards and education you need to help you trade responsibly and to protect the platform from misuse.

This article describes what it actually means to trade compliantly, why it matters — and what can happen if things go off course.

Compliant trading means playing fair, following the platform’s rules, staying within the boundaries of what’s allowed and avoiding anything that could unfairly affect the market.

It’s not about avoiding risk: it’s about knowing what you’re doing, using official tools the right way and making sure your trades aren’t causing harm to yourself or others.

In short, compliant traders don’t just focus on their P&L — they understand that how they conduct themselves while trading matters. Responsible trading protects their accounts, keeps the platform stable and builds long-term credibility in the crypto ecosystem.

Why does responsible and compliant trading matter?

It’s easy to assume that compliance is only something platforms or regulators need to worry about. But in reality, every trader plays a part. When someone attempts to exploit the system — for example, by coordinating mass trades through off-platform channels — the consequences can ripple across the entire market.

In extreme cases, irresponsible trading behavior can:

And if the trades in question are linked to coordinated action, use of fake accounts or external bots? That opens the door to account freezes, compliance reviews and, in some cases, permanent suspension.

Bybit has a responsibility to act when the system is being abused — not just for legal reasons, but in order to protect honest traders.

Common examples of noncompliant or risky behavior

Some traders join Telegram groups or online communities in which KOLs (key opinion leaders) give out coordinated trading instructions (for example, “Buy token A now, sell it in an hour”). This practice isn’t just risky: it often involves a small number of insiders benefiting while the majority end up with losses.

When many people follow the same instruction all at once, it can artificially inflate the price of a low-liquidity token. The KOLs then exit at the top —while others are left with falling prices and unexpected liquidations.

Such a textbook case of market manipulation violates our Terms of Service and, depending upon jurisdiction, could violate financial laws.

Using bots or unverified trading strategies

Some Telegram groups may seem convincing, but trades coordinated off-platform are often unverified and may serve someone else’s agenda. 

 programmed to front-run trades, mimic pump-and-dump strategies or follow unverified signals can trigger compliance red flags and may lead to account restrictions.

Bybit does not support trading bots from unverified sources. They can also trigger flags in our monitoring systems, which may result in account suspension.

Using another person’s account or sharing login credentials — even if it’s with a family member — goes against both Bybit’s policies and global 

(AML) rules. It also opens the door to fraud, loss of funds and irreversible penalties.

Tips for responsible and compliant trading on Bybit

The good news is that there’s a better way to trade — responsibly, safely and with confidence, starting with the right tools, mindset and habits.

Use copy trading the way it’s meant to be used

 is one of Bybit’s most trusted features, and for good reason. It gives users access to professional traders’ strategies while maintaining full transparency. However, it only works if you follow verified 

These traders have been vetted and their stats are fully visible. You can view their P&L, risk settings and trade history. Bybit also provides built-in tools, such as 

 and staking products allow you to earn passive yield with minimal effort. These products are fully backed by our infrastructure and undergo regular audits, and are a compliant way to generate returns without chasing risky trades.

No matter how convincing a Telegram group may sound, remember that trades executed outside of regulated channels are unverified and often unaccountable. They may be coordinated for someone else’s gain.

 offers a wide range of articles and tutorials, covering everything from indicators and oscillators to advanced portfolio strategies. Before following any external signal, it’s worth spending 10 minutes to understand the rationale behind it. In trading, knowledge is your best form of compliance. Before you enter any position, ensure that you fully understand the asset you're trading, the current market conditions and the risks involved.

, never share your login credentials, and always enable two-factor (2FA) authentication. In addition, all trading activity should originate from your own account and remain under your own control.

Bybit’s systems are designed to flag irregular behavior. If your account is found to be engaging in prohibited activity, even unintentionally, you may be:

We take these steps in order to protect the broader user base and to uphold market fairness.

Being compliant doesn’t mean missing out on opportunity. In fact, it’s the opposite. It means you’re using the platform the way it was designed, with safeguards, transparency and trust. Shortcuts might look appealing in the short term, but they rarely end well. The most successful traders on Bybit are the ones who understand risk, stay informed and trade with integrity.

Take the time to learn and use the tools available to you. And remember: protecting your account starts with choosing how you’ll trade.

Beginner

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How to trade compliantly and responsibly on Bybit

Discover how DAI evolved into USDS under the Sky protocol—unlocking passive rewards, scalability, and a new era of DeFi with Sky Token Rewards.

In September 2024, MakerDAO, a pioneering 

 (DeFi) protocol, underwent a significant transformation by rebranding itself as 

 (SKY). This rebranding was part of the project's comprehensive strategy to enhance scalability, user engagement and regulatory compliance. The major changes that came with the rebranding include token upgrades, whereby the platform’s stablecoin, Dai, was upgraded to USDS (Sky Dollar) while the 

Let’s take a deeper look at USDS and its role on the Sky platform.

USDS (United States Dollar Sky) is the upgraded version of the Dai stablecoin, launched under the newly rebranded Sky protocol (formerly MakerDAO).

 Like DAI, USDS is a decentralized, overcollateralized stablecoin designed to maintain a 1:1 peg with the US dollar.

However, USDS significantly improves scalability, user incentives and regulatory positioning, making it a next-generation solution for DeFi.

One of the standout features of USDS as a stablecoin is that it creates 

 opportunities for its investors. With USDS, you can access the Sky Savings Rate (SSR) feature, which allows you to participate in the Sky ecosystem's governance by accumulating Sky Token Rewards (STR) (presented in the form of SKY tokens).

SSR also features a variable automated token accumulation feature, whereby you receive 

 to the SSR program. This passive earning potential offers a major advantage for users seeking yield without complicated 

Sky uses a dynamic model that adds USDS to the SSR pool every few seconds. Over time, the value of sUSDS in the particular pool increases. You can then opt to redeem your sUSDS for USDS, and receive the USDS you initially supplied in addition to the USDS equivalent you’ve accumulated.

These rewards serve as an incentive mechanism, enabling users to passively grow their holdings while supporting the health and stability of the Sky ecosystem.

Upgrading from DAI to USDS is straightforward. Users can visit Sky.money and initiate the upgrade directly through a noncustodial, user-controlled process.

The platform provides a simple interface on which users connect their wallets, exchange their existing DAI for an equal amount of USDS and instantly become eligible for yield accumulation and other Sky ecosystem benefits. There are no fees for the upgrade, and users retain full control of their assets at all times.

USDS isn’t just a stablecoin; it’s an evolution of DeFi money. With passive earning through Sky Token Rewards and a smooth, secure upgrade path, USDS sets a new standard for the way decentralized stablecoins can deliver value and financial empowerment to users worldwide.

USDS and DAI are both decentralized stablecoins originally developed under the MakerDAO ecosystem (now Sky). While they share the same core principle — overcollateralization and the maintenance of a 1:1 peg with the US dollar — USDS represents a major evolution of DAI, introducing additional incentives designed to enhance user experience, scalability and regulatory alignment.

DAI has long been a favorite in the DeFi ecosystem, allowing users to generate stablecoins by locking up crypto collateral such as 

. DAI features a savings program, the DAI Savings Rate (DSR), from which people can earn 

 (sDAI). While the DSR program is still running, upgrading to USDS lets you earn two types of rewards through the SSR program: sUSDS tokens and Sky Token Rewards (STRs).

In addition, USDS is well positioned to meet regulatory requirements, aiming for broader mainstream adoption while maintaining decentralization.

Below is a comparison table between DAI and USDS:

USDS is backed by collateral that’s deposited in Sky vaults by borrowers. In return, the reserves for these vaults are backed by three main assets: 

With a market cap of over $8 billion, USDS is the currently third-largest stablecoin after 

 is more complex than that of typical stablecoins, as it includes liquidation mechanisms and a peg-stability module. However, an audit of USDS’s smart contract in September 2024 didn’t report any significant risks with the stablecoin. Notably, S&P Global Ratings 

 of 4 out of 5, indicating constrained ability to maintain its peg under certain conditions. 

​Additionally, the proposal to include a freeze function for USDS, which bestows upon the Sky protocol the power to halt USDS transfers between wallets, has sparked heated discussions within the community, highlighting the ongoing conundrum of balancing security measures with principles of decentralization.

The evolution of DAI to USDS marks a major leap forward for DeFi. By combining DAI's trusted and overcollateralized model with additional passive earning opportunities through Sky Token Rewards, USDS empowers users to enjoy greater financial benefits with less complexity.

The streamlined upgrade process and stronger regulatory positioning set the stage for broader adoption and a more resilient future. As Sky continues to build, USDS represents more than just a stablecoin — it’s the foundation of an open, accessible and more rewarding financial ecosystem for everyone.

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From DAI to USDS: Unlocking an open Sky for a more rewarding future

Altcoins

Blockchain

DeFi

Unifi Protocol is both a multi-chain DeFi protocol and a DAO that incentivizes users to engage in DeFi across multiple blockchains.

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 (DeFi) offers many perks over centralized finance, ranging from the lack of intermediaries to new investment opportunities like 

, it remains a fragmented space that’s difficult to scale, with many DeFi protocols only operating on a single 

Even when certain DeFi platforms offer multi-chain capability, adoption remains limited, as there are no incentives to use them beyond participants being able to transact on their preferred chain.

Unifi Protocol seeks to gain widespread adoption for DeFi through incentives that fuel user participation across multiple chains.

Read on to learn more about this ambitious and unique project.

, UNFI, can be used across all supported blockchains to guide the protocol’s direction. 

Unifi Protocol utilizes the concepts of DeFi and cross-chain functionality to create a sustainable, utility-based blockchain model. With its unique smart contracts, Unifi incentivizes people to leverage DeFi products across multiple blockchains. It currently operates on 11 blockchains, including 

, and continuously strives to add more to its network.

In its efforts to revolutionize blockchain technology, Unifi has developed some unique products:

uTrade V2 is an innovative, feature-rich 

 that runs on multiple blockchains. Liquidity providers to uTrade V2 earn UP, a unique token that appreciates in value every time it’s minted. 

In recognition of liquidity providers’ efforts, 100% of all trading fees are awarded to them. Of these 85% are minted into UP tokens and distributed to the liquidity providers of the respective pools. Another 10% are minted into UP and allocated to Super Pairs, specialized liquidity pools on uTrade V2 that offer additional incentives for UNFI holders. The remaining 5% are converted into base tokens within the UP smart contract, enhancing the redeemable value of UP with every trade.

uBridge is a multi-chain bridging solution on Unifi that lets you easily bridge to supported blockchains.

The unique thing about uBridge is that it doesn’t use 

. Usually, to bridge between Bitcoin and Ethereum blockchains, you need 

 (WBTC), which you will then have to unwrap, costing you time and money.

However, note that other cryptocurrencies are not supported by uBridge, i.e., it is a single-coin bridging solution specifically designed for the UNFI token.

Among the first DeFi protocols to integrate 

 staking, uStake is Unifi Protocol’s blended staking ecosystem, which operates on six supported blockchains — Unifi, 

. It holds tremendous potential as more cryptocurrencies embrace PoS security mechanisms. 

Each Unifi node earns staking rewards in the form of the specific blockchain’s native token. You may stake UNFI on the Unifi protocol itself to earn UNFI. Additionally, you can stake TRX crypto on the Tron blockchain, ICX on ICON, ONE on Harmony, ONG on Ontology and IOTX on IoTeX.

DARBi is another of Unifi’s unique products, a bespoke liquidity pool designed to maximize security for 

 while compounding the backed value of the UP token to ensure sustainable 

With DARBi liquidity pools, clients retain exclusive control over their arbitrage positions against public pools. This strategic exposure to crypto price fluctuations provides greater security for customers, ensuring they receive a predictable and reliable yield.

Unifi Protocol’s hyperinflationary INFINITI token constantly increases with every transaction. This means your balance will always increase, even when you transfer out tokens, as new tokens will be minted and sent to your address after every transfer from your address. 

With an infinite supply of tokens, you can sell them at any time you wish — without regrets about selling them too soon if the price leaps after you’ve sold them. That’s because the more tokens you sell, the more you’ll receive to keep selling.

Unifi Protocol Crypto Tokens: UNFI and UP

While Unifi Protocol doesn’t have a native cryptocurrency, the two tokens associated with the project are UNFI and UP.

Unifi Protocol DAO (UNFI) is the Unifi ecosystem’s multi-chain governance token. UNFI plays a crucial role in Unifi’s token economy, and is listed on major cryptocurrency exchanges as a gateway to the protocol. It comes in two standards, 

Holding UNFI on the following blockchains — Ethereum, BNB Chain, Polygon, Fantom, Avalanche or Harmony — gives you voting rights on core proposals regarding the protocols’ development.

UNFI tokens can also be staked to earn rewards with a high annual interest. There’s no limit to the number of UNFI tokens that can be staked, and the 

 is set according to the total quantity of staked UNFI tokens. UNFI stakers receive vUNIFI, a non-transferrable ERC-20 token that can be redeemed anytime for the original UNFI, plus staking rewards.

With the launch of uTrade V2, UNFI holders will gain access to Super Pairs, which can be used to farm liquidity provider rewards, as well as a bonus from fees generated by UP minting.

UP is Unifi Protocol’s blockchain-specific liquidity mining token awarded to liquidity providers. It’s minted and backed by a base token (the native token of the supported blockchain) so that it may have a redeemable or backed value. UP is managed by a smart contract, which uses 5% of the trading fees earned from supported blockchains to mint it. As more and more trading fees are collected, the redeemable value will increase, which means when you convert it back to the base token, the token value rises — hence the name “UP.”

Previously, the 5% trading fee was the only way to increase UP’s redeemable value. However, following a referendum on Unifi DAO to upgrade to UP v2, five new ways were added to increase the token’s redeemable value: Direct public minting, staking rewards, liquidity pool rewards, arbitrage profits and the bonding UP process.

The redeemable value, however, differs across blockchains, and is named accordingly. For instance, the UP redeemable value on Ethereum blockchain is labeled as “UPeth.”

UP tokens can be redeemed into their base tokens at any time, but the longer you hold UP, the more native tokens will back it.

Since the end of 2022, Unifi Protocol DAO’s price has been in the $4–$8 range as the market stagnates, which suggests that UNFI will continue to trade sideways for the rest of 2023. Experts such as WalletInvestor 

 isn’t a good investment over the next year.

However, DigitalCoinPrice is particularly 

, expecting it to rise to $38.49 in 2025 and shoot up to $111.61 by 2030. Price Prediction also estimates a 

, albeit with more conservative growth, anticipating prices of $10.40 in 2025 and $68.50 in 2030.

Unifi Protocol’s unique vision is to drive blockchain and DeFi adoption by creating a utility-rich network fueled by user participation Unifi is resolute in positioning itself as a DeFi project dedicated to the long-term vision of blockchain. 

The unique use of a single token to incentivize DeFi engagement across multiple blockchains undeniably makes Unifi Protocol appealing to blockchain enthusiasts looking forward to the widespread adoption of blockchain and DeFi.

Nevertheless, though Unifi may seem like a promising project, as an altcoin, it is prone to market volatility. Hence, it is vital to always do your own research before investing in this blockchain.

You can buy or sell Unifi Protocol DAO on leading crypto trading platforms, such as Bybit. UNFI is available for 

 on Bybit as a USDT Perpetual contract (

Unifi Protocol’s concept of creating a multi-chain governance token to incentivize DeFi participation across blockchains makes it an attractive platform for DeFi users. The ever-increasing value of UP, its utility token, which can be used across multiple chains, serves as an additional perk for Unifi’s users. 

Furthermore, Unifi’s unique DeFi products — such as uTrade V2, uBridge and DARBi — have proven the project’s value. However, only time will tell whether Unifi will help bring about the widespread adoption of blockchain through DeFi.

Unifi Protocol (UNFI): Bridging DeFi Across Blockchains

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