Best Tax-Saving Investments for Senior Citizens in 2024 offer an appealing chance to reduce taxed income while building a retirement fund. As the Indian government continues to value the well-being of its older population, various tax benefits and investment schemes have been introduced to urge senior citizens to plan for their golden years. This thorough guide aims to provide an in-depth study of the top tax-saving options for senior citizens in 2024, allowing them to make informed decisions and maximize their retirement savings.

What are Tax-Saving Investments for Senior Citizens?

Tax-saving investments for older citizens refer to financial tools or schemes that offer tax discounts or exemptions on the spent amount or the returns created. These investments are primarily meant to provide tax benefits to people above a certain age, usually 60 or 65 years, allowing them to lower their total tax burden and boost their retirement savings. By investing in these tax-efficient choices, older citizens can enjoy a higher spending income and a more comfortable retired lifestyle.

Overview of the Top 10 Best Tax-Saving Investments for Senior Citizens 

Senior Citizens’ Saving Scheme (SCSS): 

Offered by the Indian government, SCSS is a popular financial choice for senior citizens, offering a set interest rate of 8.6% per annum (as of 2023) and tax benefits on the income made. The plan has a five-year term of 5 years, is renewed up to the age of 80, and allows for a maximum investment of Rs. 15 lakh.

Pradhan Mantri Vaya Vandana Yojana (PMVVY): 

This government-backed pension plan ensures regular income for older people aged 60 and above. Investors can receive payouts monthly, quarterly, half-yearly, or yearly, with the interest rate currently set at 8% per annum (as of 2023). The most significant spending limit is Rs. 15 lakh, and the plan offers tax benefits on the salary received.

Health Insurance Plans: 

Senior citizens can claim tax refunds on fees paid for health insurance plans under Section 80D of the Income Tax Act. This provides financial safety against medical costs while having tax benefits, making health insurance plans an attractive investment choice for seniors.

National Pension System (NPS): 

NPS is a voluntary retirement savings plan that offers tax benefits on payments made under Section 80C and Section 80CCD(1B) of the Income Tax Act. Senior citizens can continue adding to their NPS funds and enjoy tax-free growth and partial tax relief on payments, making it an attractive choice for building their retirement capital.

Public Provident Fund (PPF): 

While PPF is mainly aimed at paid people, older citizens can continue their current funds and enjoy tax rebates on the interest made under Section 10(11) of the Income Tax Act. Additionally, they can claim partial tax benefits on payments made under Section 80C, subject to certain boundaries.

Equity-Linked Savings Scheme (ELSS): 

ELSS mutual funds offer tax refunds on purchases up to Rs. 1.5 lakh per annum under Section 80C of the Income Tax Act. Senior citizens can gain from stock market growth while saving on taxes, making ELSS an attractive investment choice for those with a modest risk stomach.

Fixed savings (FDs): 

Senior citizens can receive better interest rates on fixed savings from banks and post offices compared to regular investors. The interest on these accounts is partly or wholly free from tax under Section 80TTB of the Income Tax Act, based on the investor’s age and total income.

Tax-Saving Bank Deposits: 

Certain bank deposits, such as the Older Citizen Savings Scheme (SCSS) and the 5-Year Tax-Saving Bank Deposits, offer tax benefits on the interest made, making them attractive choices for older citizens. These deposits usually provide higher interest rates than standard savings accounts and offer tax deductions under Section 80C or Section 10(15) of the Income Tax Act.

Post Office Monthly Income Scheme (POMIS): 

This scheme, which the Indian Postal Service implemented, gives older people a steady monthly income for 5 years. The interest made on POMIS is partly or wholly free from tax under Section 80C and Section 80TTB of the Income Tax Act, making it a tax-efficient investment choice for retirement.

Rajiv Gandhi Equity Savings Scheme (RGESS): 

RGESS is a tax-saving plan specially created for first-time users, including older citizens, with an annual income below Rs. 12 lakh. It offers tax discounts on purchases up to Rs. 50,000 in qualified stock and equity-linked assets under Section 80CCG of the Income Tax Act, allowing seniors to join the equity markets while getting tax benefits.

Factors to Consider Before Investing in Best Tax-Saving Investments for Senior Citizens

●    Investment horizon and liquidity needs: Senior citizens should consider their investment horizon and possible liquidity requirements, as some tax-saving investments may have lock-in periods or fines for premature exits.
●    Risk tolerance and investment objectives: Examining one’s risk appetite and investment goals is essential to deciding the proper mix of low-risk, moderate-risk, and high-risk options.
●    Expected returns and tax implications: Senior citizens should assess the expected returns of each investing choice and understand the related tax consequences, including rebates, exemptions, and relevant tax bands.
●    Lock-in periods and exit options: Some tax-saving investments may have lock-in periods, which can impact cash and should be considered based on individual needs.
●    Credibility and image of the investment provider: It is essential to invest in plans offered by respected financial institutions or government bodies to ensure the safety and security of investments.
●    Ease of investment and exit processes: Senior citizens should evaluate the ease of spending and removing funds, considering factors such as paperwork, accessibility, and customer service.
●    Inflation protection and growth potential: With growing life, it is essential to consider investments that offer inflation protection and the potential for capital gain to keep buying power.
●    Availability of additional benefits: Some investments, such as health insurance plans, may provide additional benefits beyond tax savings, which can be helpful for older people.

How to Invest in Best Tax-Saving Investments for Senior Citizens in ?

●    Assess your cash goals, risk appetite, and investment horizon: Evaluate your financial goals, risk tolerance, and the time frame for which you require the investments to produce profits.
●    Evaluate the different tax-saving investment choices and their qualifying criteria: Carefully review the investment choices mentioned in this article, determine which ones fit your financial goals, and meet the qualifying standards based on your age and income.
●    Consult with a financial advisor or tax professional for specific recommendations: Seek help from skilled professionals who can provide personalized advice based on your unique circumstances, considering your general economic situation, tax bills, and investment choices.
●    Gather the needed documents and finish the necessary formalities: Collect the required papers, such as name proofs, age proofs, and income statements, and follow the recommended processes to open or invest in the chosen tax-saving investment options.
●    Choose the financial option that fits your goals and spend the desired amount: After careful thought and professional help, select the most suitable tax-saving investment choice and pay the desired amount, sticking to any relevant investment limits or restrictions.
●    Monitir and review your investments regularly: Regularly watch the success of your investments and review them periodically to ensure they continue to match your changing needs and financial circumstances. Make necessary changes or rebalance your assets to improve returns and tax efficiency.

Conclusion

As older citizens handle the golden years of their lives, investing in tax-efficient tools becomes critical to maximizing retirement savings and ensuring financial security. The Best Tax-Saving Investments for Senior Citizens in 2024 offer various choices, catering to different risk types, investment plans, and financial goals. By carefully examining these financial options and getting professional advice, older citizens can make informed choices, reduce their tax responsibilities, and enjoy a happy retirement.
From government-backed schemes like the Senior Citizens’ Saving Scheme (SCSS) and Pradhan Mantri Vaya Vandana Yojana (PMVVY) to market-linked instruments such as Equity-Linked Savings Schemes (ELSS) and the National Pension System (NPS), senior citizens have a wide array of choices to build a tax-efficient retirement portfolio. Additionally, choices like health insurance plans, tax-saving bank savings, and post office monthly income schemes provide financial protection and tax benefits, ensuring a complete approach to retirement planning.
It is crucial to regularly review and adjust your investment portfolio to line with changing market conditions and personal financial circumstances. Seeking professional help from financial advisors and tax experts can further assist in managing the difficulties of tax rules and finding the most suitable investing strategies.
By taking a proactive approach and utilizing the tax-saving opportunities available, senior citizens can protect their financial future, maximize their retirement savings, and enjoy a secure and wealthy golden age.

Disclaimer:
Investment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial.

AI Digital, a full-service, global programmatic consultancy helping advertisers enhance digital consumer experiences with an audience-first approach, has launched its proprietary platform ELEVATE. Designed for the programmatic marketplace, ELEVATE is an optimization and measurement solution that empowers brands to make the most of their digital advertising dollars by helping marketers to make clear correlations between digital campaigns and brand and business outcomes. It’s an optimization and measurement platform built for programmatic trading by programmatic traders.

ELEVATE offers a distinct metric called the Accountability Score, which is specifically designed to help brands identify growth areas within media plans that drive unique and unduplicated audiences, minimize ad fraud, and improve brand outcomes. ELEVATE includes metrics to ensure brand safety and address invalid traffic. The platform will also provide brands with total access across data, inventory, scale, and devices to their own target audience and can reach consumers at all touch points across their bespoke consumer journeys.

With ELEVATE, marketers will on average see a 3% reduction in invalid traffic and fraud, a 9% improvement in unique audience delivery, and a 6% increase in brand lift. The platform is designed for all types of media buys across all channels. However, it’s especially unique for CTV and streaming, as CTV currently lacks accountability to performance metrics.

“AI Digital sets out to reimagine how brands and the industry can capitalize on programmatic’s future with ELEVATE. Our experience with the platform has been very positive. We have had better campaign outcomes and are able to more easily demonstrate how campaigns are driving towards brand goals, which is top of mind for marketers,” said Marina Miller, EVP, Marketing & Media Strategy, Media Brokers International (MBI), one of the nation’s leading independent agencies. “We believe ELEVATE will push the industry forward and make media more accountable.”

Following the ethos of helping marketers realize the full potential of programmatic, AI Digital’s ELEVATE shifts the programmatic definition of success away from traditional metrics of impressions, reach, and clicks to more meaningful outcomes such as brand equity and lower funnel actions. ELEVATE improves programmatic optimization, brand and business outcome measurement by providing comprehensive and accountable insights into the audiences, channels, creatives, geographies, and publishers that are driving results.

“Programmatic was promised to be a marketing utopia for CFOs and corporate C-suite; greater accountability to sales/business metrics, precision audience targeting, and real-time optimization. Unfortunately, for some, the practice has been mired in brand safety challenges, invalid traffic, and performance tied to vanity metrics versus long-term returns,” said Stephen Magli, Founder and CEO at AI Digital. “ELEVATE is a solution that aims to establish a higher standard in programmatically traded marketplaces and enable marketers to realize the potential of programmatic.”

About AI Digital – AI Digital is a full-service, global programmatic consultancy that empowers agencies & advertisers with digital expertise and instant data enabled programmatic infrastructure across all media types and access to all leading premium publishers and inventory. Leading with an audience-first approach, the company helps agencies and advertisers navigate the digital ecosystem by delivering hands-on, unrivaled data and technology access, outcome-based audience strategy, advanced analytics driven campaign optimization and advanced measurement including detailed, real-time transparent campaign reporting. AI Digital is a priority Amazon Partner with access to over 150+ people-based data sources and in platform optimization expertise to maximize value of all walled gardens including Google and Amazon’s data and tech stack, along with 10+ DSPs . AI Digital leverages technology through its proprietary platform ELEVATE and the expertise of its world-class, global team to drive a more ELEVATED consumer experience, measurable action, and brand and sales lift for more accountable results. Learn more about AI Digital at www.aidigital.io.

Quick Take

• Friend Tech launches its FRIEND token.

• $70 million address poisoning attack.

• LayerZero launches a self-report sybil program.

• EigenDA onboards rollups to mainnet.

Harpie is an onchain security solution that protects your wallet from theft in realtime. Harpie helps you detect and block suspicious transactions before they execute, safeguarding your assets from malicious attacks and scams. Try Harpie for free at harpie.io/ethdaily.

Friend Tech Launches FRIEND

Friend Tech, a Base-native social application where users can trade profile-based shares, quietly launched its V2 update alongside its FRIEND token airdrop. Users who accumulated points over the previous eight months are now able to claim FRIEND tokens. FRIEND has a total supply of 72 million and a market cap of $130 million. Following its release, the price of FRIEND dropped to a low of approximately $1 but has since rebounded to around $1.90. Eligible users can instantly claim 10% of their airdrop and must follow at least 10 users and join a Club to unlock the remaining 90%. A Club is a tokenized chatroom featuring a custom price curve. FRIEND is used as the native currency for purchasing Club memberships.

$70 Million Address Poisoning Attack

A user lost $70 million from an address poisoning attack. The victim sent 1,155 WBTC to an attacker who spammed the victim’s wallet with a zero-value ETH transfer using an address that looks similar to their own. The attack vector aims to trick the victim into transferring assets to a similar-looking fraudulent address. In this case, the victim fell for the simple attack vector. Etherscan typically makes an effort to hide zero-value token transfers on its block explorer by default. However, some transfers can still slip through the filter. Users are advised to carefully verify addresses and refrain from copying addresses directly from Etherscan.

LayerZero Self-Report Sybil Program

LayerZero, a cross-chain messaging protocol, launched a self-report program for sybil users as part of its upcoming airdrop. The program rewards sybil users who voluntarily report themselves by granting them 15% of their intended allocation. Sybil users who fail to self-report and are identified by bounty hunters will forfeit their entire token allocation. Users have until May 17th to self-report. LayerZero is expanding the scope of sybil behavior to include more than just sybil factories. The protocol will flag the repetitive use of gas refueling dapps to appear active as sybil activity. LayerZero confirmed that the snapshot for its airdrop was taken on May 1st. LayerZero’s bridging protocol enables dapps to access cross-chain liquidity.

EigenDA Mainnet Rollup Onboarding

EigenDA, EigenLayer’s native data availability solution, is now onboarding rollups onto its mainnet. Although still in beta, the onboarding process is intended to stress test the network’s traffic capacity. EigenDA has 115 operators and 400,000 ETH in delegated stake from 42,000 re-stakers. EigenDA is set to be competitive with data blobs and will be production-ready as part of a general availability release in the upcoming months.

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The Bitget Protection Fund, valued at $465 million in April 2024, underscores the platform’s commitment to user security.

Bitget, a leading cryptocurrency exchange and Web3 company, announces the updated valuation of its Protection Fund for April 2024, reaching a peak of $465 million on April 8th and maintaining an average monthly valuation of $428 million. This demonstrates Bitget’s steadfast commitment to fortifying user security and protecting digital assets, with the Protection Fund serving as a cornerstone of the platform’s user-centric approach since August 2022.

Steadfast Support Amid Market Dynamics

Throughout April, Bitget’s Protection Fund remained stable, propelled by market trends and BTC valuation, with an average monthly valuation surpassing the company’s commitment of $300 million pledged in October 2022. Despite a temporary exclusion of USDT storage from the fund to facilitate ecosystem growth, the Protection Fund retains a substantial reserve of 6,500 BTC.

Agile Responses to Emerging Challenges

Employing a self-insured reserve model, Bitget’s Protection Fund operates independently, enabling agile responses to emerging challenges. This autonomy allows the fund to swiftly reallocate resources to mitigate risks and safeguard user assets during turbulent market conditions or unforeseen events, ensuring robust protection against adversities.

Commitment to Transparency and Security

Gracy Chen, Managing Director at Bitget, underscores the platform’s unwavering commitment to security, emphasizing the importance of maintaining the fund valuation above $300 million. Bitget prioritizes transparency by providing verifiable Proof of Reserves data and offering users unrestricted access to comprehensive fund storage information, solidifying its position as a trusted leader in the cryptocurrency exchange industry.

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Quick Take

• MODE token to launch on May 7th.

• Paragraph acquires Mirror.

• EigenLayer Stakedrop updates.

• ENS petitions to challenge a UD patent.

Harpie is an onchain security solution that protects your wallet from theft in realtime. Harpie helps you detect and block suspicious transactions before they execute, safeguarding your assets from malicious attacks and scams. Try Harpie for free at harpie.io/ethdaily.

$MODE To Launch May 7th

Mode, an L2 network built on the OP Stack, is set to launch its MODE governance token with an initial airdrop on May 7th at 11:00 AM UTC. The token will have a total supply of 10 billion, with 5.5% dedicated to the first of two user airdrops. Airdrop 2 will run frm May 5th until September 6th, distributing another 500 million tokens. 38% of the MODE supply is allocated to investors and core contributors, with 27% allocated to a foundation treasury, and the remaining 35% for end users and developers. Since its launch in January, Mode has amassed over $500 million TVL from 450,000 wallets. Mode features a sequencer fee-sharing module designed to reward developers.

Paragraph Acquires Mirror

Onchain publishing platform Paragraph announced its acquisition of Mirror, another onchain publishing platform founded in 2020. Colin Armstrong, the founder of Paragraph, will now serve as CEO of both products, while Denis Nazarov, former founder of Mirror, will continue as an advisor. Both Mirror and Paragraph will operate unchanged as separate platforms in the short term. Paragraph plans to seek feedback from writers before merging into a unified onchain publishing platform. Paragraph also secured a $5 million funding round led by Union Square Ventures, aiming to use the capital to expand its team. The parent company of Mirror also raised a $10 million seed round to launch a new social-media-focused Farcaster client named Kiosk.

EigenLayer Stakedrop Update

The Eigen Foundation has updated its initial EIGEN Stakedrop, set to launch next week. The foundation will now allocate 100 extra EIGEN tokens to users who interacted with EigenLayer before April 29th. The increase aims to address high gas costs and increases the previous minimum of 10 EIGEN tokens per wallet. The lock-up period for investors and contributors will now start once EIGEN becomes transferable. While previously stating that transferability would commence following the activation of certain features like slashing and rewards, the foundation now anticipates enabling transferability as soon as September 30th, 2024. Certain operator testnet participants will now be eligible for allocations in Phase 2.

ENS Petitions To Challenge UD Patent

ENS Labs filed a petition with the United States Patent and Trademark Office (USPTO) to challenge the validity of a patent on blockchain domain resolution that was granted to Unstoppable Domains in 2023. The petition is a formal request for the USPTO to reconsider and potentially revoke the patent. Nick Johnson, the founder of ENS, says that the patent is entirely based on open-source technology developed by ENS. Last year ENS sent an open letter to Unstoppable Domains, requesting a legally binding pledge to freely license their patent.

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Salaried people often face the challenge of matching their daily costs with the need to build a strong investment account. Mutual funds provide a handy and flexible option, allowing investors to give small amounts regularly and benefit from the growing effect of returns over time. By investing in a well-diversified group of securities, mutual funds minimize the risks connected with individual stock purchases, making them attractive for paid people wanting long-term wealth building.

Overview of Top 10 Mutual Funds for Salaried Individuals

Axis Bluechip Fund 

This large-cap equity fund aims to provide long-term capital growth by investing in diverse bluechip companies with a strong track record and lasting competitive benefits. The fund is perfect for paid people wanting exposure to known and stable companies.

Mirae Asset Large Cap Fund

Focused on investing in large-cap companies with solid foundations and growth prospects, this fund gives paid people a chance to share in the growth of India’s top corporations. Its strict investment method and skilled fund management team make it a desirable choice.

ICICI Prudential Balanced Advantage Fund

This dynamic asset allocation fund tries to strike a mix between stock and loan investments, giving paid people the potential for capital growth while controlling risk. Its ability to change asset allocation based on market conditions makes it suitable for those seeking modest risk and reliable results.

Parag Parikh Flexi Cap Fund

This fund takes a value investing method, buying across market capitalizations and industries. With a focus on finding cheap companies with solid foundations, this fund offers paid people the chance to benefit from long-term wealth building.

SBI Small Cap Fund

For paid people with a higher risk appetite and a long-term financial plan, this small-cap fund offers exposure to growing companies with prospects for substantial growth. Its diverse portfolio and skilled fund management team hope to capitalize on the growth possibilities in the small-cap section.

Kotak Emerging Equity Fund

This fund works on dealing in mid-cap and small-cap companies with strong growth potential. Salaried people looking to share in the possible upside of new businesses can consider this fund as part of their financial strategy.

UTI Nifty Index Fund

As an index fund, this choice tracks the success of the Nifty 50 index, giving paid people a low-cost and passive investment strategy. It is ideal for those wanting broad market exposure and long-term wealth building through diversity.

HDFC Hybrid Equity Fund

This hybrid fund mixes equity and debt investments, giving salespeople the potential for capital growth while providing a cushion against market instability. Its dynamic asset selection approach aims to create stable results across market cycles.

Invesco India Counter Fund

This counter fund uses a contrarian investment method, buying in stocks that are cheap or out of favor but have firm foundations. Salaried people with a modest to high-risk mindset can consider this fund for wealth-building possibilities.

Quant Active Fund

This actively managed fund uses mathematical models and algorithms to find financial possibilities across market capitalizations. With its focus on data-driven decision-making, this fund offers paid people a unique investment method driven by cutting-edge technology.

Performance of top Mutual Funds for Salaried Individuals 

Factors to Consider While Investing in Mutual Funds for Salaried Individuals in 2024

●    Investment Horizon: Salaried people should properly consider their investment plan and match their mutual fund choices. Funds with a higher stock exposure may be more suitable for those with a more extended investment plan, while debt or mixed funds may be more appropriate for shorter time frames.
●    Risk Tolerance: Understanding one’s risk appetite is essential when choosing mutual funds. Equity funds tend to be more unpredictable but offer higher growth potential, while debt funds are usually more steady but with lower yields.
●    Diversification: Keeping a well-diversified portfolio by investing in a mix of stock, debt, and hybrid funds across different industries and market capitalizations is essential. Diversification helps reduce risk and improves total financial stability.
●    Investment Objective: Salaried people should clearly describe their investment goals, whether it’s wealth building, retirement planning, or meeting specific financial milestones. Different mutual fund types match different investment goals, making it crucial to choose funds appropriately.
●    Expense Ratio: The expense ratio, which reflects the yearly fees paid by the fund, can significantly impact long-term profits. Salaried people should compare price rates across funds and opt for cost-effective choices to maximize their investment results.

How to Invest in Mutual Funds as a Salaried Individual?

Step 1: Assess your cash goals, risk tolerance, and investing timeline.
Step 2: Research and assess different mutual fund choices based on their financial theory, success, and cost rates.
Step 3: Open a demat and trade accounts with a reliable exchange or mutual fund site.
Step 4: Decide the investment amount and consider setting up a Systematic Investment Plan (SIP) for regular payments.
Step 5: Select and put in the chosen mutual funds through lump-sum purchases or SIPs.
Step 6: Monitor the success of your investments periodically and adjust your portfolio as needed.

Conclusion

For paid people in India, investment in mutual funds can be a powerful tool for building long-term wealth and achieving financial protection. By carefully examining the top mutual funds for 2024 and considering factors such as investment timeline, risk tolerance, and diversification, paid people can build a well-balanced strategy tailored to their unique needs. With the direction of financial experts and a focused approach, paid people can unlock the potential of mutual fund investments and pave the way for a safe economic future.

Disclaimer:
Investment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial.

Metalottery revolutionizes the traditional concept of lottery gaming by introducing a decentralized blockchain platform that offers unprecedented transparency, fairness, and thrilling experiences for players worldwide.

Metalottery, a groundbreaking online lottery platform built on blockchain technology, emerges as the first decentralized blockchain lottery platform, promising a new era of transparent, thrilling, and rewarding lottery gaming experiences. By fusing cutting-edge blockchain technology with the excitement of lotteries, Metalottery revolutionizes lottery gaming.

Unmatched Fairness and Frequency of Draws

Unlike traditional lotteries, Metalottery employs Chainlink‘s Verifiable Random Function (VRF) to ensure provably fair and unbiased results for every draw. With new lottery rounds starting every 8 hours, players can revel in the excitement of winning more frequently than ever before, enhancing the overall gaming experience.

The Heart of Metalottery: The PLT Token

At the core of Metalottery lies the Pool Lottery Token (PLT), the platform’s native token that fuels its ecosystem. Players can use PLT tokens to purchase tickets conveniently through Metalottery’s website. Additionally, players can spin the “Wheel of Fortune” for extra rewards and engage with a growing community of lottery enthusiasts on Telegram and Discord.

Empowering Players Globally

Dioni Bouropoulos, COO of Poollotto Finance, emphasizes Metalottery’s commitment to inclusivity and accessibility. Through a seamless integration of innovative technology and user-friendly interface, Metalottery empowers players worldwide to take control of their lottery experience. Participation is fee-free, with all ticket proceeds contributing to the jackpot, aligning with Metalottery’s vision to build the largest lottery community globally.

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Futures open interest, which indicates the total value of outstanding futures contracts yet to be settled, experienced a marked increase. On May 15, futures open interest stood at $28.45 billion but surged to $31.18 billion by May 16. This represents a substantial increase of approximately 9.6%. This rise suggests a growing investor interest in Bitcoin futures, driven by the anticipation of further price movements. The rise in OI is essential as it shows an influx of new capital into the market, signaling traders’ expectations and potential price direction.

In the options market, open interest also saw a significant uptick. On May 15, options open interest was $18.43 billion, rising to $20.71 billion by May 16. This increase of approximately 12.4% highlights the heightened activity and interest in options contracts as traders positioned themselves for the price surge.

The distribution of options open interest on May 16, with calls accounting for 66.16% and puts for 33.84%, indicates a bullish sentiment among traders, expecting further upward movement in Bitcoin’s price. A deeper look at the options volume further confirms the overwhelmingly bullish sentiment. On May 16, the volume of call options constituted 58.18%, compared to 41.82% for puts, showing that traders were predominantly betting on the price increase.

Deribit’s daily options volume dramatically increased, jumping from $1.01 billion on May 15 to $2.42 billion on May 16.

The volume and distribution between shorts and longs provide further insights into the state of the market. On May 16, the total liquidations amounted to $150.52 million, with long liquidations at $40.76 million and short liquidations at $109.76 million. The significantly higher short liquidations indicate that many traders were caught off guard by the price increase, resulting in the forced closure of short positions. This liquidation asymmetry reinforces the bullish trend observed during this period, as shorts were squeezed out of the market.

Analyzing the changes in OI and volumes is crucial for understanding how the derivatives market responds to price movements. Once a niche market catering to a small subset of sophisticated investors, Bitcoin derivatives have grown to become a market foundation. The tens of billions in open contracts across products show that derivatives are significant and important enough to affect the broader crypto market. 

Data from CoinGlass indicates a growing bullish sentiment among traders, with a notable preference for call options and a high volume of short liquidations. This behavior suggests that traders are positioning for further price appreciation in Bitcoin. If this bullish sentiment persists and is supported by continued positive price action, we may see further increases in open interest and trading volumes, potentially driving Bitcoin’s price higher.

The post Derivatives saw spike in Open Interest and volume as Bitcoin broke $66k appeared first on CryptoSlate.

Today, Arrington Capital announced that Bhavik Patel has joined the firm, bringing decades of derivatives, trading and risk management experience to complement the expanding team at Arrington Capital. Mr. Patel was previously Chief Product Officer and Head of Derivatives Business at BitMEX, an early crypto exchange and derivative trading platform, where he assisted the founding team at an early stage on the design of what would be a leading flagship perpetual swap product.

“I look forward to bringing my financial markets experience to Arrington Capital, a digital asset management and venture firm, where we will grow and expand the liquid side of the organization,” said Mr. Patel. “I am equally as thrilled to utilize my background in designing sophisticated financial products in the digital asset space, to support our 200+ portfolio companies that are at the forefront of building financial infrastructure of the future.”

“As the crypto markets mature and converge with traditional markets, it is critical to bring a mature and sophisticated perspective to our trading strategy. Representing just one pillar of how we deliver value to our investors, our liquidity and trading business will be elevated to a higher degree with Bhavik’s leadership and institutional knowledge,” said Michael Arrington, founder of Arrington Capital. “We are honored to have Bhavik join us and we look forward to new strategies and offerings he will bring to our investors.”

Mr. Patel’s prior experience also includes UBS’s APAC Derivatives Strategist, where he was responsible for generating and publishing cross-asset tactical and systematic trade ideas. He was the APAC touchpoint for content driven dialogue with a wide variety of clients (volatility funds, long-short investors, tail funds).

Prior to UBS in Hong Kong, Bhavik had a number of trading and risk management roles in London at a mix of European investment banks. He has a Masters in Mathematics from the University of Oxford.

About Arrington Capital

Arrington Capital is a digital asset management firm primarily focused on blockchain-based capital markets. The firm, founded in 2017 by TechCrunch and CrunchBase founder Michael Arrington and TechCrunch CEO Heather Harde, has invested in hundreds of startups around the world. Arrington Capital is a seasoned, international team composed of Silicon Valley veterans and operators with deep venture capital experience and crypto native roots. Arrington Capital’s first fund was Arrington XRP Capital, and has expanded to multiple funds over time, including the Arrington Algo Growth Fund and the Arrington Moonbeam Growth Fund. For more information on Arrington Capital, visit https://www.arringtoncapital.com/.

Quick Take

• Aave introduces Aave 2030

• Aave V4 Unified Liquidity Layer.

• Redstone goes live on mainnet.

• Agora launches its governance platform.

Harpie is an onchain security solution that protects your wallet from theft in realtime. Harpie helps you detect and block suspicious transactions before they execute, safeguarding your assets from malicious attacks and scams. Try Harpie for free at harpie.io/ethdaily.

Aave Introduces Aave 2030 Roadmap

Aave Labs introduced Aave 2030, a comprehensive roadmap for advancing the Aave protocol. The roadmap includes the launch of Aave V4, a Cross-Chain Liquidity Layer (CCLL), the introduction of the Aave Network, the integration of Real World Assets (RWAs) with the GHO stablecoin, and an updated visual brand identity. The proposal outlines a three-year implementation timeline. The strategic plan aims to maintain Aave’s position as the top non-LST DeFi protocol. For the first year, Aave Labs is requesting a budget of 15 million GHO and 25,000 stAAVE to fund development. The completion of the Aave V4 code is targeted for Q2 2025. The proposal is currently in a Temp Check phase and is open for community feedback.

Aave V4 Unified Liquidity Layer

Aave V4 is the newest evolution of the Aave protocol, introducing a Unified Liquidity Layer, a new architecture that centralizes liquidity into a single layer. The design enables Aave to support greater modularity, streamline governance, improve capital efficiency, minimize liquidity fragmentation, and more seamlessly integrate GHO. The upgrade includes Fuzzy-controlled Interest Rates, which automatically adjust based on market demand to optimize efficiency. Aave V4 also introduces Liquidity Premiums that adjust borrowing costs according to the risk associated with a collateral. It will also incorporate Smart Accounts to further enhance the user experience.

Redstone L2 Goes Live On Mainnet

Redstone, a gaming-focused L2 network built on the OP Stack, is now live on public mainnet. The launch features a native bridge, a Uniswap v3-based DEX called Redswap and an NFT marketplace called Redstone Market. The network uses chain id 690. Users can now bridge to Restdtone to mint a commemorative launch day NFT. Redstone is designed for ultra-low-cost transactions by using an Alternative Data Availability (Alt-DA). Instead of posting DA to Ethereum L1, Redstone posts a data commitment hash to L1 and maintains its input state offchain. It also features a permissionless challenge system to ensure data integrity and security. Users can now interact with the network through daily quests.

Agora Launches Governance Platform

Agora, a governance tooling platform optimized for DAO voting, is now open for general availability. Any DAO or decentralized project can now register to set up its own community governance portal via Agora. The portal features support for delegation, delegate profiles, delegate discovery, and proposal voting. Agora also announced a $5 million funding round led by Haun Ventures. Agora already powers governance portals for Optimism, Uniswap, and NounsDAO.

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