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Selway told the Security Traders Association's annual market structure conference on 14 October that he expects at least four exchanges to begin offering perpetual futures on securities this quarter. The contracts would bring a format associated with crypto markets into regulated US equity derivatives.
Five exchanges filed registration notices
In September, ICE Futures, NADEX, Bitnomial, Kalshi and Coinbase submitted Form 1-N registration notices to the SEC. Each was already a designated contract market registered with the Commodity Futures Trading Commission.
The notice route is different from a conventional exchange application that requires advance SEC approval. Under the relevant framework, registration for an eligible exchange takes effect when it submits the required notice.
That status is limited to trading security futures products. It does not authorise a venue to operate a general cash-equities exchange, nor does it set the launch date or terms for any individual contract.
CME's contracts have expiry dates
Selway also referred to CME's 27 July launch of cash-settled futures linked to individual US stocks. CME's announcement covered more than 50 US stocks. Those contracts have expiry dates, unlike perpetual futures.
Selway said the SEC's role is to uphold regulatory standards and encourage competition in the interests of investors, rather than assess whether the products will succeed commercially. The filings and his remarks were reported by Finance Magnates. The speech did not name which venues he expects to launch.
The integration question
The filings mark a registration step, not a complete product specification. Operators should establish which venues intend to launch and ask what contract identifiers, trading sessions, price feeds and order-entry controls they will use. The speech does not provide those details or give individual launch dates.
Risk and operations teams will also need the terms for funding, use, margin and settlement before assessing changes to risk controls, reconciliation or reporting. Those terms remain unspecified. A practical next step is to ask prospective venues when they will publish the contract rules and operational specifications needed to prepare systems.
Once those terms are available, teams can assess whether existing controls and reporting workflows cover the contracts. Operators should ask how positions and settlement obligations will appear in venue data and internal records, and what information will be available for reconciliation. The speech does not answer those operational questions.
