Bitcoin and Ether options to the tune of $2.4 billion are set to expire on May 3, raising the likelihood of increased market volatility. Block has pledged to invest 10% of its gross profit from its Bitcoin-related business back into the cryptocurrency each month, and a Nigerian judge has postponed a money laundering trial of a Binance executive.Bitcoin and Ether options worth $2.4 bilion set to expireBitcoin (BTC) and Ether (ETH) options contracts worth a combined $2.4 billion are set to expire on May 3, which could lead to increased market volatility.A Bitcoin options contract is a derivative contract that allows investors to speculate on Bitcoin price movements without owning Bitcoin itself.There are two types: call and put options. Call options give investors the right to buy a cryptocurrency at a specific price before a certain date. Put options, on the other hand, allow investors to sell a cryptocurrency at a particular price before the expiry date.On May 3, a total of 23,367 Bitcoin contracts worth $1.39 billion are set to expire. Data from the Deribit exchange reveal that the put-to-call ratio for Bitcoin options contracts is currently at 0.5, with a maximum pain point of $61,000. The maximum pain point refers to the price at which the asset will cause financial losses to the greatest number of holders.Similarly, a total of 334,248 Ether contracts with a notional value of $1 billion are expected to expire on Friday as well. These expiring contracts have a put-to-call ratio of 0.37 and a maximum pain point of $3,000.The expiry of options contracts has historically been followed by short-term price volatility in the spot crypto market. Bitcoin and Ether have experienced bearish pressure in the past couple of weeks.Jack Dorsey’s Block is ‘DCA’ing’ into Bitcoin every monthTwitter co-founder Jack Dorsey said his fintech firm Block, Inc. will flip 10% of its gross profit made off its Bitcoin products into buying Bitcoin every month.“Going forward, each month we will be investing 10% of our gross profit from Bitcoin products into Bitcoin purchases,” Dorsey wrote in a May 2 shareholder letter inclusive of its better-than-expected first-quarter results.“We were one of the first public companies to put Bitcoin on our balance sheet,” he added. Block bought $220 million worth of BTC across Q4 2020 and Q1 2021.“Our investment in Bitcoin transcends technology; it is an investment in a future where economic empowerment is the norm.”Block’s Bitcoin gross profit for the first quarter of 2024 through customer sales with its Cash App business was up nearly 60% year-on-year to $80.1 million. 10% of this amount could buy it around 1,350 BTC at its current price of $59,250.Nigerian court postpones money laundering trial of Binance and execsA Nigerian judge has reportedly paused the case against Tigran Gambaryan, a Binance executive detained in Nigeria since February 2024, until May 16.The trial would have begun on May 2nd, but attorneys for Binance were given a temporary adjournment after claiming they hadn’t yet received crucial documents related to the case. Gambaryan reportedly traveled to Nigeria with Binance regional manager Nadeem Anjarwalla in February to address legal concerns. The two were then detained and held on charges of money laundering and tax evasion. Anjarwalla is alleged to have escaped custody and fled Nigeria. Additional reporting by Geraint Price, Ana Paula Pereira, Sam Bourgi and Felix Ng.
