CBOE plans to launch Bitcoin and Ether perpetual futures contracts in November.

Source: cryptoslate

Compiled by: Blockchain Knight

CBOE Global Markets announced plans to launch Bitcoin and Ethereum perpetual futures contracts on November 10, pending regulatory review.

According to the announcement on September 9, this new product set will be launched on the CBOE Futures Exchange, with contracts designed as a single long-term tool, valid for up to 10 years.

This design eliminates the traditional futures contract's iconic "rollover requirement," simplifying the position management process for traders seeking long-term exposure to digital assets.

The perpetual futures will be settled in cash and will undergo daily cash adjustments through a "transparent funding rate mechanism" to ensure that the price remains consistent with the real-time spot market price.

The CBOE Clear US, a derivatives clearing organization regulated by the Commodity Futures Trading Commission (CFTC), will provide clearing services for these contracts within the regulated framework of the exchange.

Catherine Clay, Global Head of Derivatives at CBOE, stated that the products being launched will introduce the "perpetual tool features" that have been widely recognized in the offshore market to the U.S. market for local traders.

She pointed out that the product is aimed at three types of groups: institutional participants, existing customers of the Cboe Futures Exchange (CFE), and retail traders who wish to participate in cryptocurrency derivatives trading.

At the time of this announcement, the regulatory collaboration between the SEC and CFTC is gradually strengthening. The two agencies will hold a joint roundtable meeting on September 29 to advance coordination on digital asset regulation.

In a statement on September 5, the two institutions acknowledged that "decentralized regulation" not only stifles innovation but also drives cryptocurrency-related activities to overseas markets.

SEC Chairman Paul Atkins and CFTC Acting Chair Caroline Pham emphasized that the lack of regulatory coordination creates uncertainty, which hinders economic activities even for "legitimate and compliant products."

Regulators have clearly stated that regulatory coordination can reduce market entry barriers, enhance efficiency, and strengthen the United States' leading position in the financial markets.

The joint roundtable meeting on September 29 will discuss specific measures for "aligning the U.S. market with the global economy," including extending trading hours, establishing a regulatory framework for perpetual contracts, and coordinating portfolio margin systems.

In addition, the two agencies plan to review the relevant policies on "DeFi projects providing safe harbor exemptions" while maintaining investor protection standards.

The launch of perpetual futures by CBOE is an important step in expanding its CFE product matrix. Currently, CFE products include VIX futures, stock volatility-based products, cryptocurrency-related products, and global fixed income products.

The launch of this new product marks the gradual return of "compliant perpetual swap trading" to the domestic market in the United States, which was previously concentrated on offshore platforms.

To help market participants prepare, the CBOE Options Institute will hold "Perpetual Futures Public Education Courses" on October 30 and November 20 to explain knowledge related to new products.