BOC Crude Oil Bao is a book-entry crude oil trading product, and its trading product is WTI crude oil. However, China Bank is not a professional futures trading institution, and many investors do not know their counterparties when trading crude oil. Does BOC Crude Oil Bao have any counterparties?

Does crude oil treasure have an opponent's offer?

Crude oil treasure is such a model: investors open crude oil positions in BOC, and the counterparty is actually BOC, but BOC will open corresponding positions in the crude oil futures market of Shenzhen Stock Exchange according to the positions opened by customers. In other words, investors' money does not directly flow into the crude oil futures market of Shenzhen Stock Exchange, but is indirectly traded through China Bank.

For example, the net position of all investors in BOC crude oil treasure is a long position of 6,543,800 barrels. At this time, BOC is equivalent to the short position of 6,543,800 barrels of crude oil. It is impossible for BOC to take such a big risk to gamble with customers, so it needs to open another short position of 6,543,800 barrels on the Chicago Stock Exchange to hedge risks.

This shows that BOC itself is the market maker of crude oil treasure, but this market maker is somewhat special.