The Commodity Futures Trading Commission has opened a regulatory door for crypto perpetual futures in the United States. KalshiEX received approval to list a bitcoin perpetual contract (BTCPERP), while Coinbase Financial Markets obtained a no-action letter covering its digital commodity derivatives plans. These moves shift a product category long centered on offshore exchanges into the U.S. regulatory perimeter.
Perpetual futures, widely known as "perps," are contracts without expiration dates. Traders can gain price exposure without holding the underlying asset. In crypto markets they are among the most liquid instruments because of leverage, seamless trading, and flexible hedging. The CFTC's decision marks a major change in U.S. regulatory posture toward these instruments.
CFTC Chair Calls It a "Milestone"
CFTC Chair Michael Selig described the action as historic. “This morning, the @CFTC took historic action to permit the listing of a true bitcoin perpetual contract by a CFTC-registered exchange, charting a path for one of the most liquid segments of the crypto asset markets to exist within the US regulatory framework,” Selig posted on X.
What Was Approved? — BTCPERP and a No-Action Letter
The CFTC greenlit KalshiEX's BTCPERP, a perpetual contract tied to bitcoin's price, giving the prediction-market firm a regulated route into crypto derivatives. For Coinbase, the no-action letter signals that staff do not currently intend to recommend enforcement action. The advisory came from the Division of Clearing and Risk, Division of Market Oversight, and Market Participation Division. Staff said it responds to growing demand for 24/7 trading, clearing and settlement, partly enabled by blockchain and decentralized infrastructure.
“Commission staff believes that an advisory, outlining the potential risks associated with 24/7 trading, clearing, and settlement, and the ways in which these risks are addressed by current Commission regulations, may help promote continued market robustness, along with responsible innovation and fair competition,” the advisory stated. Yet the guidance is not formal rulemaking, leaving longer-term policy uncertainty unresolved.
Coinbase CEO: U.S. Users Locked Out of 80% of Global Crypto Market
Coinbase CEO Brian Armstrong welcomed the move. “Big day for our US-based traders, and for Coinbase,” he said on X. “Until now, US users have been locked out of ~80% of global crypto markets (perpetual futures and options). But not anymore!” The decision gives domestic traders a compliant gateway to a product that has largely flowed through international venues.
Market Impact: Will Liquidity Flow Back Onshore?
The near-term effect is expanded access. U.S. traders previously had limited exposure to crypto perpetual futures, pushing volume to offshore exchanges. Now Kalshi and Coinbase can offer regulated perps. But whether liquidity migrates from giants like Binance and Bybit hinges on margin rules, leverage caps, fee structures, and whether institutional players view U.S. venues as deep enough for large-scale strategies.
Risks of a 24/7 Derivatives Market
Perpetual futures trade around the clock, while traditional derivatives infrastructure was not built for nonstop settlement and clearing. That raises risks around margin monitoring, liquidity management, system outages, surveillance, and clearinghouse controls during hours when conventional markets are closed. A regulated U.S. perp market must handle weekend volatility, overnight liquidations, and price dislocations across global venues. The Hyperliquid Policy Center called the CFTC's actions a “long-overdue acknowledgment that perpetual derivatives are a legitimate and essential tool for price discovery and risk management.”
The decision does not eliminate those risks—it changes where they are managed. Instead of leaving activity largely offshore, the CFTC allows regulated firms to test perpetual futures under existing oversight tools. For exchanges, the door opens a new competitive front in U.S. crypto derivatives. For traders, it provides regulated access to a product that has shaped global crypto liquidity. For regulators, it begins a tougher phase: supervising a 24/7 derivatives market without relying on offshore activity as a safety valve.