Perpetual Single-Stock Futures Begin Trading on CFTC-Registered Exchanges
Key Facts
On November 3, 2026, the chairman of the U.S. Commodity Futures Trading Commission said perpetual futures tied to individual stocks could begin trading for the first time on exchanges registered with the agency. The move opens a path for trading these derivatives within regulated U.S. markets, after perpetual contracts had previously covered digital assets. The chairman said the instruments are "widely sought for risk management and price discovery." He added that making them available on regulated markets gives traders access within a supervisory framework, rather than requiring them to turn to external platforms that are often unregulated. The announcement is limited to contracts tied to individual securities and does not mean that traders own the underlying stock.
The CFTC said the contracts were deemed approved under Regulation 40.3 as security futures products. These products are subject to the Commodity Exchange Act, as well as federal securities laws and the regulatory frameworks of both agencies. The announcement defines eligible markets through dual-registration conditions: the market must be registered with the CFTC and also registered with the U.S. Securities and Exchange Commission as a national securities exchange, with a notice filed to trade security futures products. The decision therefore does not automatically cover every U.S. exchange or every platform that offers stock trading. Listing these contracts depends on meeting the registration and regulatory-notice requirements of both agencies.
Perpetual contracts differ from futures contracts with expiration dates because they have no set term at which the trade ends, allowing a trader to keep a position open without rolling it into a new contract. These derivatives may use leverage, which increases the size of both potential gains and losses. Perpetual stock contracts do not confer ownership in a company or the right to receive the stock simply by trading the contract. They therefore provide exposure to stock-price movements through a derivative, while the contract terms and settlement mechanism remain part of the product design offered in the market. The CFTC chairman said bringing them to regulated markets places their trading within the agency's protective framework.
The move comes amid regulatory coordination between the CFTC and SEC; the agencies announced on March 11, 2026, that they had signed a memorandum of understanding to guide their cooperation. According to the CFTC's announcement, the memorandum aims to support lawful innovation, market integrity and investor and customer protection. It was also preceded by a regulatory step concerning perpetual bitcoin contracts: the agency chairman's statement cited the May 29, 2026, order approving KalshiEX's bitcoin contract. The November announcement expanded this category of contracts from digital commodities to traditional securities. In a letter issued in June, the CFTC had said that the previous regulatory treatment was limited to bitcoin and other digital commodities, and that assets outside that scope required separate review and approval under Regulation 40.3.
A filing submitted by Nadex to the Securities and Exchange Commission in September had outlined a proposed framework for perpetual futures on individual stocks, but said the CFTC had not approved it when the notice was published. Nadex submitted the proposed change to both agencies on September 24, and the SEC published a notice on September 29. Under the filing's terms, each contract represents one share of the underlying stock, is cash-settled and confers no ownership in the stock, with its value adjusted periodically to align it with the asset. The filing named large-cap stocks including Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla as examples of eligible assets. The proposal states that it requires CFTC approval to take effect, while the SEC has authority to set it aside within 60 days of its effective date after consulting with the CFTC.
The move also points to potential competition in the market for these derivatives: Reuters reported that platforms such as Kalshi and Polymarket view perpetual contracts as a new growth avenue that could broaden their competition with traditional Wall Street firms. In a separate filing concerning digital contracts, CME Group sued in June 2026 to challenge the CFTC's decision to allow Kalshi and Coinbase to list perpetual contracts on digital assets. The agency rejected the allegation that it had exceeded its legal authority, according to the report. The lawsuit concerns digital-asset contracts, according to the account, and the report does not link it to the stock-contract announcement issued on November 3. The earlier legal dispute thus remains background to the expansion, while dual registration sets the framework for markets to enter stock-contract trading.
On market-position disclosures, the CFTC announced on October 27 a plan to increase publication of the Commitments of Traders report from once to twice a week by the end of 2026. Under the plan, Monday data will be published on Wednesday, and Wednesday data on Friday. The agency set 3:30 p.m. Eastern Time as the release time for both reports. The move is part of the agency's updates to the frequency of position-data releases, as the range of products traded through registered markets expands. The agency did not specify in the announcement a release date for a particular report on November 6.