Hynix ADR premium widens to 36.06%, pressuring $11.09 million whale spread

Hynix-linked contracts on TradingBeats, formerly Hyperinsight, were quoted on Aug. 10 at $1,023 for SKHX and $139.19 for SKHY, implying an ADR premium of about 36.06% when 10 SKHY are converted into one SKHX. A whale wallet beginning 0xe091 built the spread last Thursday and Friday with 5x isolated leverage, going long 5,400 SKHX and short 40,000 SKHY for a combined notional size of about $11.092 million and a 99.2% size match, making it a relatively complete spread trade. Based on the entry averages, the ADR premium was about 35.64% at entry, but it has since widened by 0.42 percentage point, leaving the two legs with a combined floating loss of about $16,700. Carry costs are a bigger drag: SKHX funding rate (periodic payment between derivatives traders) was about +0.01961% per hour and SKHY was about -0.00109% per hour, putting the trader on the paying side of both legs for about $1,144 an hour, or roughly $27,500 a day if rates stay unchanged. Market activity was much deeper in SKHX, with about $213 million in 24-hour volume and about $424 million in open interest (outstanding contracts), versus about $23.81 million and about $99.38 million for SKHY. TradingBeats also said HyperInsight Bot is now live on Telegram.

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