CFTC approves stock perpetual futures: What equity perps mean for US traders and crypto

Perpetual futures on individual US stocks can now trade on regulated exchanges in the US for the first time. Commodity Futures Trading Commission Chairman Michael Selig announced the decision on November 3, saying the products, known as equity perps, give American traders an alternative to "offshore and often unregulated venues," according to his official statement.

The CFTC treated the contracts as security futures, a category created by the Commodity Futures Modernization Act of 2000 and deemed them approved under its Regulation 40.3. 

That puts them under both commodities and securities law. 

Only exchanges registered with the CFTC that are also registered with the Securities and Exchange Commission to trade security futures can list them. 

The two agencies signed a memorandum of understanding earlier this year to coordinate oversight; Selig's statement cited SEC Chairman Paul Atkins's description of these products as having been stuck in a regulatory "no man's land."

What are stock perpetual futures?

A stock perpetual future is a contract that tracks the price of a company's shares but has no expiry date. A trader can hold a position for as long as they like, as long as they keep enough collateral in their account. That sets perps apart from the single-stock futures CME Group already offers, which expire on set dates and have to be rolled over.

As there is no expiry to pull the contract's price back to the share price, perps use funding payments instead. When the contract trades above the stock, traders holding long positions pay those holding short positions and the reverse when it trades below. These payments are usually made at set intervals (e.g., every hour or every eight hours).

Equity perps are also different from tokenized stocks. They are cash-settled derivatives, so holders don't own shares, receive dividends or get a vote. "They are not 'on-chain stocks', but rather 'on/off-chain derivatives'," Crypto.com Research wrote in its February report on equity and commodity perpetuals. Traders use them to hedge outside market hours, position around events such as earnings, trade with leverage and take short positions without borrowing shares.

Why is the CFTC allowing them now?

Much of the demand is already there, just not in the US. Perpetual futures recorded more than $630 billion in trading volume over the past month, according to DeFiLlama data. Perps on traditional assets have grown especially fast. Onchain trading volume in perps tied to stocks, indices, commodities and currencies rose 162% to $31 billion between December 2025 and January 2026 alone, Crypto.com Research found.

The US has been moving toward this for months. On May 29, the CFTC approved the first Bitcoin (BTC) perpetual futures contract on a regulated US exchange. In August, US President Donald Trump said the CFTC was working to bring Hyperliquid, the largest onchain perps platform, into the US "in a fully compliant and legal fashion." Tuesday's decision extends the same approach from crypto to stocks.

Which US platforms could list them first?

None has announced a launch date yet. Several US platforms filed with the CFTC in September to offer perps on individual stocks. One of them, OG.com, filed on September 24 to list cash-settled single-stock futures with no expiry, trading 24 hours a day, five days a week.

OG.com and Crypto.com already offer crypto perps in the US. On October 27, they launched perpetual futures on crypto for eligible US customers, with up to 5x leverage. Selig has said US-regulated crypto derivatives exchanges offer "around 7x or less," while onchain stock perps platforms have offered roughly 10x to 25x. Some pool-based venues offer up to 150x, according to Crypto.com Research.

What's the link to Hyperliquid?

Hyperliquid is where much of the stock perps trading already happens. Its HIP-3 system lets outside developers launch perps markets on the platform, including on stocks, indices and commodities. As of October 28, 169 HIP-3 markets held $4.12 billion in open interest, with contracts on the S&P 500, gold and WTI crude among the largest.

The approval cuts both ways for Hyperliquid. It validates the product the platform helped popularize, but it also gives US traders a regulated, domestic alternative. HYPE, Hyperliquid's token, traded near $86 after the announcement, up 2.5% on the day, with most of its weekly gain coming before the decision. Hyperliquid itself isn't a registered US exchange, so any route onshore would likely run through a partnership with one.

What could slow it down?

The legal basis is still being tested. CME sued the CFTC in June over the BTC perps approval, arguing that contracts with no expiry and recurring funding payments are swaps rather than futures, which would put them under a different set of rules. 

The CFTC has asked the court to dismiss the case, calling it "much ado about nothing," A ruling against the CFTC could raise questions about the stock perps approval too.

There are practical hurdles as well. Venues need to be registered with both agencies, which limits who can move first. Stock perps that trade when exchanges are closed also face weekend gap risk, when share prices can jump at Monday's open and they have to account for dividends, stock splits and other corporate actions in their pricing. 

Important information: This informational content is written by Crypto.com and should not be considered as an investment recommendation or advice. Trading cryptocurrencies carries risks, such as price volatility and market risks. Before deciding to take cryptocurrency positions, consider your risk appetite. All forecasting methods, scenarios, and examples are illustrative and subject to market uncertainty.

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Foris DAX Inc. (“Crypto.com”) introduces customers to Foris DAX FCM, LLC, a CFTC-registered Futures Commission Merchant, for the purpose of opening accounts to trade perpetual futures contracts (“Perpetual Futures”)  offered by Crypto.com | Derivatives North America (CDNA), a CFTC-regulated exchange. Crypto.com  is a guaranteed introducing broker of Foris DAX FCM, LLC. All customer accounts related to Perpetual Futures are carried by and held at Foris DAX FCM, LLC.

Trading Perpetual Futures on CDNA involves significant risk, including the risk of loss in excess of your initial margin deposit due to the use of leverage, and may not be appropriate for all. Perpetual Futures do not have an expiration date and positions may be held indefinitely, which can result in ongoing funding rate charges and amplified losses. You should carefully consider whether trading Perpetual Futures is appropriate for you in light of your investment experience, financial resources, and risk tolerance. Any trading decisions you make are solely your responsibility and at your own risk.

To trade Perpetual Futures, customers may fund their Foris DAX FCM, LLC account directly via credit card, debit card, ACH, wire, and other payment methods, or use their USD Account with Crypto.com to fund their Foris DAX FCM, LLC account. As an introducing broker, Crypto.com does not hold customer funds or margin. All customer funds are held by Foris DAX FCM, LLC, the clearing Futures Commission Merchant and guarantor of Crypto.com.