The CFTC is seeking public input on perpetual derivatives contracts as crypto exchanges Coinbase and Bitnomial launch new products. This reflects the growing institutional demand for regulated crypto derivatives. Future prospects include expanded product offerings and enhanced market liquidity, particularly with ongoing interest in options on ETFs. Significant products like XRP futures have re-emerged, adding depth to trading options in the digital asset markets.
The U.S. Commodity Futures Trading Commission (CFTC) is consulting on the implications of perpetual derivatives contracts following new launches by Coinbase and Bitnomial Exchange. These contracts allow traders to engage at a fixed price without an expiry date while maintaining their positions with periodic funding payments. CFTC acting chair Caroline Pham underlined the initiative’s significance by emphasising the request for public input to understand the contracts’ potential in the current markets.
Growing institutional demand for regulated venues in the crypto sphere has been highlighted in a report by Crisil Coalition Greenwich, which forecasts a rise in the number of nationally regulated U.S. exchanges. This mirrors developments in other markets, such as Archax and Zodia Markets in the United Kingdom. David Easthope, a senior analyst at the consultancy, remarked on the continuing expansion of product offerings in derivatives exchanges, particularly focusing on options markets.
The study indicates that 65% of crypto buy-side participants are actively trading futures or options. Easthope anticipates significant growth in options markets for listed ETFs, suggesting that 2025 will witness increased volumes and open interest. Sygnum Bank indicates a broadening range of regulated futures and ETFs on crypto assets is expected by the end of the year, with current examples including CME Solana futures and XRP swap-based ETFs.
Coinbase has notably expanded its derivatives offerings, recently listing cash-settled XRP futures on April 21, 2025. This development is particularly significant as XRP had faced a temporary delisting due to legal challenges in 2021. The reintroduction of XRP adds accessibility to institutional traders and creates increased trading volume, enhancing liquidity and price discovery for the asset.
Bitnomial Exchange also made strides by launching XRP USD Myra futures in March 2025, the first CFTC-regulated XRP future product in the U.S., enhancing market integrity through physical settlement in XRP. This was followed by the launch of options on Ethereum on April 22, providing immediate access for clients. Furthermore, Bitnomial is working towards establishing the first regulated perpetual futures trading platform in the U.S., while EDXM Global prepares to launch a similar venue in Singapore.
This dynamic shift in the derivatives landscape opens avenues for more complex structured products and options, which could significantly influence price dynamics and market strategies as institutional participation grows in the crypto ecosystem.
