Market Chatter: CoreWeave Explores Derivatives to Hedge Memory Chip Price Risk

MT Newswires Live07-15

CoreWeave (CRWV) is exploring the use of financial derivatives to hedge against a potential decline in memory and storage chip prices, Reuters reported Tuesday, citing a person familiar with the matter.

According to the report, discussions are at an early stage, and the AI cloud infrastructure company has not executed any hedging transactions. Potential strategies under consideration include put options and other derivative instruments.

CoreWeave has signed long-term supply agreements that secure memory and storage chip availability but could leave it paying above-market prices if chip prices decline, the report added.

CoreWeave did not immediately respond to MT Newswires' request for a comment.

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