Bits + Bips: The Most Dangerous Type of Asset to Trade on Weekends - Unchained Recap

Podcast: Unchained

Published: 2026-02-01

Duration: 38 minutes

Guests: Evgeny Gaevoy

Summary

Retail traders are rapidly moving into high-risk areas like tokenized assets and prediction markets, while market makers navigate challenges of insider trading. The episode highlights the unique risks of trading tokenized equities on weekends.

What Happened

Evgeny Gaevoy, founder and CEO of Wintermute, outlines the evolving landscape of crypto markets, which remain volatile despite a general downturn in cryptocurrency trading. His company engages in prop trading and market making across both centralized and decentralized exchanges, including major players like Coinbase and Binance, as well as DeFi protocols like Oneinch on Solana.

Retail traders, disillusioned by early venture capital access to tokens, have shifted their focus to meme coins and other high-risk assets, often entering these markets too late to capitalize on gains. This has led to increased attention on prediction markets, where platforms like Polymarket and Calci are gaining traction amid regulatory changes proposed by the CFTC.

Gaevoy notes that the recent market crash, attributed to over-leveraging and thin liquidity, has driven a flight to quality, concentrating liquidity in large-cap tokens like Bitcoin and Ethereum. The crash also accelerated interest in derivatives, particularly options, which help stabilize markets by dampening volatility.

In the West, there is a growing sophistication in derivatives trading, while in Asia, the focus remains on yield generation. Retail investors continue to favor perpetual contracts over options for leveraging their positions, highlighting a divergence in trading strategies between regions.

Tokenized assets, including gold and equities, have captured trader interest, especially on weekends when traditional markets are closed. However, trading these assets comes with heightened risks, as market-moving news can dramatically affect prices outside of regular trading hours.

Tokenized gold, in particular, has garnered attention from both retail investors and sovereign governments, with its price movements starting to mirror those of cryptocurrencies. Yet, despite gold's allure, the market remains cautious, with many waiting for clearer regulatory frameworks and potential legislative constraints to stabilize the environment.

Gaevoy also sees potential in tokenized credit, although it has not been widely experimented with yet. The current administration's regulatory stance, perceived as crypto-friendly, might change if there is a shift in power, which could lead to more stringent regulations impacting the market.

Overall, the episode captures a market in flux, with traders and market makers navigating a complex landscape marked by regulatory uncertainties, evolving trading strategies, and the persistent allure of high-risk, high-reward assets.

Key Insights