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The US Commodity Futures Trading Commission has permitted perpetual contracts tied to individual stocks to trade on CFTC-registered exchanges. It is the first time these products have been allowed on those venues, extending the US market beyond digital assets to traditional securities.
Chairman Michael S. Selig announced the change on 3 November 2026. The contracts, called Equity Perps, were treated as approved under Commission Regulation as security futures products.
What the classification means
Equity Perps fall under the Commodity Exchange Act and US federal securities laws, with regulatory oversight shared between the CFTC and the Securities and Exchange Commission. Their classification therefore places them within rules administered by both agencies.
The agency's first Bitcoin perpetual futures contract had been approved earlier this year for a CFTC-regulated exchange. In inaugural remarks, Selig called for the CFTC to use its existing authority to admit perpetual derivatives to US markets, subject to appropriate safeguards.
How oversight is being coordinated
The legal basis for joint supervision comes from the CFMA, which set out how the CFTC and SEC regulate security futures products together. The agencies also signed a memorandum of understanding earlier this year to strengthen their coordination.
Selig said the latest decision could give US participants tools for managing risk and finding prices within the domestic regulatory system, while reducing dependence on offshore venues. Finance Magnates reported that he linked the framework to uncertainty around security futures and equity perpetuals, which SEC Chairman Paul S. Atkins had described as a "no man's land".
What to watch next
For exchange and broker technology teams, the operational questions concern how these contracts will be represented in product setup, risk controls and regulatory reporting. Which security-futures classifications and reporting fields will apply, and how will requirements from both agencies flow through existing workflows?
The announcement does not set out contract specifications, venue onboarding, clearing arrangements or implementation dates. Operators will need those details to assess margin handling, reconciliation and support requirements. Selig's stated aim of drawing activity away from offshore venues also leaves a practical question: how much participation will move to US-regulated exchanges?
