Launch Announcement
The Singapore Exchange (SGX) announced that its derivatives division will introduce bitcoin and ether perpetual futures trading on November 24. The offering targets accredited and institutional investors seeking regulated access to digital asset derivatives. Contracts will trade continuously without an expiry date, reflecting a feature popularized by leading crypto-native platforms.
Contract Specifications
Perpetual futures will be margined in U.S. dollars and cleared through SGX’s established clearinghouse. Funding rate mechanisms will maintain contract prices in line with underlying spot market rates. Daily funding settlements are scheduled at 8:00 UTC to align with liquidity peaks across global trading venues.
Market Rationale
Perpetual futures accounted for a majority of global crypto derivatives volume in 2025. Institutional interest in non-expiry instruments has grown, driven by hedging requirements and speculative strategies. SGX aims to leverage local regulatory frameworks and robust clearing infrastructure to attract regional and global participants.
Strategic Partnerships
SGX collaborated with major liquidity providers and index providers. The exchange will reference benchmark rates from established crypto indices, ensuring transparency and price discovery aligned with industry standards. Partnerships with DBX Bank and select digital asset firms will support initial liquidity provisioning.
Regulatory and Compliance
SGX derivatives arm secured necessary approvals from the Monetary Authority of Singapore. Risk controls include position limits, margin stress tests and circuit breakers. Accredited investor criteria will ensure participant sophistication and risk awareness.
Industry Reception
Market participants and stakeholders welcomed the move as a strategic step in bridging traditional finance and digital asset markets. Analysts project that the new contracts will enhance price discovery, offer hedging avenues and expand the institutional ecosystem in Asia Pacific.
Outlook
SGX anticipates gradual expansion of product offerings to include additional digital assets. Educational initiatives will support participant onboarding. Continued regulatory engagement and market feedback will guide future enhancements to contract specifications and risk management frameworks.
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