UBS shook the market: exposure to bitcoin calls grew 24-fold in a quarter
Swiss banking giant UBS is demonstrating an aggression toward digital assets that is rare for the traditional financial sector. As of June 30, its derivatives portfolio underwent a radical transformation: the volume of call options on BlackRock's bitcoin ETF IBIT surged to 1.95 million shares—24 times more than the 80,000 shares a quarter earlier. Such a leap cannot be dismissed as chance or hedging—it is a clear signal of a bullish sentiment forming among top-tier institutional players.
Direct bets grow, protection weakens
The structure of the positions deserves special attention. Direct ownership of IBIT shares increased by 12%—to 407,890 shares, equivalent to approximately $13.6 million at current prices. However, far more telling is the dynamics of put options, which are used to insure against declines: their exposure decreased by 53%, to 143,300 shares. This is a classic "remove protection and add leverage" pattern, which in professional circles is read unambiguously: UBS managers expect the upward trend in the first cryptocurrency to continue.
It is significant that the bank is betting specifically on IBIT, rather than other spot ETFs. BlackRock remains the leader in liquidity and institutional adoption, making its product the preferred instrument for large players who value not only returns but also counterparty reliability. A 24-fold increase in call positions alongside a reduction in puts is not just a reshuffling of assets but a revision of the entire risk model regarding cryptocurrencies.
For the market, this move by UBS is a powerful bullish signal. When a bank with a balance sheet in the trillions of dollars and a reputation for conservatism begins expanding derivatives exposure at such a pace, it indicates that institutional capital has stopped viewing bitcoin as a speculative asset and is starting to consider it a strategic investment. In the coming quarters, we should expect other banks to follow UBS's example, which could become a catalyst for a new round of growth.
My comment: The 53% reduction in put protection is perhaps an even more telling signal than the growth in calls. Large players rarely remove hedges without solid reasons. If UBS is right, we could see consolidation above $70,000 as early as the third quarter, and further institutional pressure on short positions will only amplify this momentum.