Crypto’s favorite $90 trillion trading product is coming to Wall Street, but big banks are taking it slow
Perpetual futures, long dominant in crypto trading, are moving into regulated U.S. markets and drawing Wall Street attention. Kalshi’s launch topped $1 billion in volume in a week, and both Kalshi and Coinbase have CFTC approval to list regulated perps. The product has no expiration date; funding payments keep prices near the underlying asset. Global volume is estimated around $90 trillion annually. Interest is growing, but large banks are mostly still evaluating the market. Prop trading firms, market makers, and newer clearing firms are likelier first movers because they can take operational risk and test economics more easily. Potential uses go beyond speculation: 24/7 perps could improve weekend hedging and price discovery when traditional futures markets are closed. Main obstacles are thin liquidity, collateral plumbing, and regulatory uncertainty over whether perps should be treated as futures or swaps. Competitive disputes are also emerging as incumbents like CME resist new treatment. Large banks are expected to wait for clearer rules, deeper liquidity, and stronger infrastructure before committing.
