On December 15, a new era begins for institutional investors. Cboe Global Markets is set to launch its first ‘continuous futures’ on bitcoin and ethereum, contracts with a perpetual vibe but fully regulated by the US authorities. This offering is rare in a market dominated by offshore platforms where perpetuals have reigned supreme for years.
A new weapon for crypto market pros
These contracts will have an unusual lifespan of ten years. A timeframe designed to avoid the monthly ‘roll’ headache while maintaining exposure close to spot prices through daily cash adjustments. This mechanism acts as a backbone to keep prices in line with the spot market.
A regulated perpetual, but not a typical one: less leverage, fewer frictions, and dedicated liquidity
The goal is clear: to offer a continuous, clean, and professional exposure, with the oversight guarantees of the CFTC. The continuous futures – PBT for bitcoin, PET for ethereum – will be available from Sunday to Friday in a 23×5 range, using the Cboe Kaiko Real-Time Rates to set price benchmarks. Each open position will undergo daily adjustments similar to the well-known funding mechanism in crypto derivative trading.
US regulation finally catches up with the perpetual market
The introduction of perpetual products on a regulated exchange is significant. Perpetuals currently drive the crypto volume on both CEX and DEX platforms. In September, perpetual volumes on DEX surpassed the symbolic $1 trillion mark. On CEX, the figure nears $7 trillion, driven by Binance and OKX. This explosive trend has prompted institutions to seek safer, more standardized equivalents compatible with their internal obligations.
Cboe’s initiative comes amid international competition. Singapore Exchange earlier announced its own launch of perpetual futures on Bitcoin and Ethereum, set for November 24. The battle shifts to a new frontier: that of an institutional, clean, standardized, and legally clear perpetual.
A strategic advancement for professional investors
With these continuous futures, Cboe aims to combine the ultra-liquid efficiency of crypto perpetuals with the rigor of traditional derivative markets. For institutional traders steering clear of offshore platforms, the access window has finally opened.
