Perpetual Futures Bring Crypto’s $90T Market to Wall Street

Perpetual futures are moving into regulated U.S. markets after years as a core crypto trading product, with Bank of America estimating annual volume at about $90 trillion. Kalshi's perpetual futures topped $1 billion in trading volume within a week of their June launch, while the CFTC cleared the exchange to offer the contracts on May 29. Coinbase also received approval to list regulated perpetual futures in the United States.

Why it matters

Perpetuals resemble standard futures but do not expire. Traders avoid monthly or quarterly rollovers, while periodic funding payments keep prices close to the underlying asset. Their 24-hour structure could give institutions a way to manage weekend risk, when traditional futures markets are closed but wars, elections and policy decisions can still move prices.

A liquid perpetual market could also provide weekend price discovery before CME futures reopen. Traders could adjust positions as events unfold and use those prices to estimate the next move in traditional markets. Kalshi's pursuit of approval for gold and silver contracts suggests the product may expand beyond Bitcoin and other digital assets.

Market impact

Wall Street interest remains cautious. Proprietary trading firms, market makers and newer clearing firms are more likely to test perps first because they can use their own capital, accept operational risk and leave if the economics deteriorate. Large banks face higher capital, compliance, clearing and reputational costs, and are waiting for years of data, deeper liquidity and clearer rules.

The main constraint is market depth. Around-the-clock trading does not guarantee that institutions can move large positions without moving prices, particularly during thin weekend sessions. Collateral systems also need to keep pace with a market that never closes.

Regulators and exchanges are still debating whether some perps should be treated as futures or swaps, a distinction that affects margin rules, registration and liquidity provision. CME has challenged the CFTC's treatment of Kalshi's Bitcoin perpetuals, creating a dispute that could shape expansion into equities, commodities and other markets.