The US Commodity Futures Trading Commission has allowed perpetual futures contracts linked to individual stocks to trade on CFTC-registered exchanges for the first time.
London's trading industry is coming home!
Chairman Michael S. Selig announced the development today (Tuesday), saying it extends the availability of perpetual futures in the US beyond digital assets and into traditional securities.
The contracts, known as Equity Perps, were deemed approved under Commission Regulation as security futures products. They are subject to the Commodity Exchange Act, US federal securities laws and the regulatory frameworks of both the CFTC and the Securities and Exchange Commission.
CFTC Expands Perpetual Futures Framework
The move follows the CFTC's approval earlier this year of the first Bitcoin perpetual futures contract on a CFTC-regulated exchange.
In his inaugural remarks, Selig directed the agency to use its existing powers to bring perpetual derivatives into US markets, subject to appropriate safeguards.
He said the latest approval would allow US market participants to use perpetual futures for risk management and price discovery within the country's regulatory framework. He also said the move could reduce reliance on offshore venues.
@ChairmanSelig Releases Statement on Equity Perpetual Futures: https://t.co/aZAEa77sE7
— CFTC (@CFTC) November 3, 2026
CFTC and SEC Joint Regulatory Framework
The approval builds on the CFMA, which established a framework for the joint regulation of security futures products by the CFTC and SEC.
Earlier this year, the two agencies also signed a memorandum of understanding to improve coordination and cooperation.
Selig said the framework addresses regulatory uncertainty that had left products such as security futures and equity perpetual futures in what SEC Chairman Paul S. Atkins described as a regulatory "no man's land".
This article was written by Tareq Sikder at www.financemagnates.com.
Source: Finance Magnates
