900 trillion USD annual trading volume of perpetual futures enters Wall Street, major banks remain cautious
2026-07-27 18:01
Odaily reports: After perpetual futures entered the regulated US market, Wall Street institutions are still taking a wait-and-see approach. Bank of America estimates that the global annual trading volume of perpetual futures is approximately 90 trillion USD; within a week of Kalshi launching perpetual futures in June, trading volume exceeded 1 billion USD.
Perpetual futures are similar to standard futures but have no expiration date, meaning traders do not need to close or roll over positions monthly or quarterly. Instead, periodic funding rates keep the contract price close to the underlying asset. On May 29, the US Commodity Futures Trading Commission (CFTC) approved Kalshi to offer such contracts, and Coinbase also received approval to list regulated perpetual futures in the US.
Insiders say that large financial institutions are still studying these products, with proprietary trading firms, market makers, and emerging clearing firms likely to be the first to participate. Large banks face stricter capital rules, client obligations, and reputational risks, and typically wait for years of data, clear regulatory treatment, and stable infrastructure.
Perpetual futures may also be used to manage weekend risk, but market depth remains a concern. Industry insiders note that regulatory disagreements are emerging over whether certain contracts should be classified as futures or swaps, and CME has already challenged the CFTC's handling of Kalshi's Bitcoin perpetual contract.
Perpetual futures are similar to standard futures but have no expiration date, meaning traders do not need to close or roll over positions monthly or quarterly. Instead, periodic funding rates keep the contract price close to the underlying asset. On May 29, the US Commodity Futures Trading Commission (CFTC) approved Kalshi to offer such contracts, and Coinbase also received approval to list regulated perpetual futures in the US.
Insiders say that large financial institutions are still studying these products, with proprietary trading firms, market makers, and emerging clearing firms likely to be the first to participate. Large banks face stricter capital rules, client obligations, and reputational risks, and typically wait for years of data, clear regulatory treatment, and stable infrastructure.
Perpetual futures may also be used to manage weekend risk, but market depth remains a concern. Industry insiders note that regulatory disagreements are emerging over whether certain contracts should be classified as futures or swaps, and CME has already challenged the CFTC's handling of Kalshi's Bitcoin perpetual contract.
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