Cryptocurrencies and Interest Rates: Inferring Yield Curves in a Bondless Market

Fuente: arXiv
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Autori principali: Bergault, Philippe, Bieber, Sébastien, Guéant, Olivier, Zhang, Wenkai
Natura: Preprint
Pubblicazione: 2025
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author Bergault, Philippe
Bieber, Sébastien
Guéant, Olivier
Zhang, Wenkai
author_facet Bergault, Philippe
Bieber, Sébastien
Guéant, Olivier
Zhang, Wenkai
contents In traditional financial markets, yield curves are widely available for countries (and, by extension, currencies), financial institutions, and large corporates. These curves are used to calibrate stochastic interest rate models, discount future cash flows, and price financial products. Yield curves, however, can be readily computed only because of the current size and structure of bond markets. In cryptocurrency markets, where fixed-rate lending and bonds are almost nonexistent as of early 2025, the yield curve associated with each currency must be estimated by other means. In this paper, we show how mathematical tools can be used to construct yield curves for cryptocurrencies by leveraging data from the highly developed markets for cryptocurrency derivatives.
format Preprint
id arxiv_https___arxiv_org_abs_2509_03964
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Cryptocurrencies and Interest Rates: Inferring Yield Curves in a Bondless Market
Bergault, Philippe
Bieber, Sébastien
Guéant, Olivier
Zhang, Wenkai
General Finance
In traditional financial markets, yield curves are widely available for countries (and, by extension, currencies), financial institutions, and large corporates. These curves are used to calibrate stochastic interest rate models, discount future cash flows, and price financial products. Yield curves, however, can be readily computed only because of the current size and structure of bond markets. In cryptocurrency markets, where fixed-rate lending and bonds are almost nonexistent as of early 2025, the yield curve associated with each currency must be estimated by other means. In this paper, we show how mathematical tools can be used to construct yield curves for cryptocurrencies by leveraging data from the highly developed markets for cryptocurrency derivatives.
title Cryptocurrencies and Interest Rates: Inferring Yield Curves in a Bondless Market
topic General Finance
url https://arxiv.org/abs/2509.03964