Ondo Finance said existing U.S. securities laws could support onshore perpetual futures tied to individual stocks, as market regulators evaluate ways to bring more derivatives activity under U.S. oversight.
Ondo’s position
The digital asset tokenization firm said perpetual futures referencing single equities can be structured within current regulatory frameworks. The company’s view comes amid ongoing discussions in Washington over how the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) should oversee novel derivatives tied to digital assets and traditional securities.
What are perpetual futures?
Perpetual futures are derivatives without a fixed expiration date. Instead of settling on a preset maturity, they use periodic funding payments between long and short positions to keep contract prices aligned with the underlying asset. The product has become common on offshore crypto venues and is increasingly discussed as a potential instrument for bringing digital-asset style trading into regulated markets.
Regulatory backdrop
In the U.S., oversight of derivatives depends on the underlying asset and product structure. The SEC regulates securities and security-based swaps, while the CFTC oversees futures and swaps on commodities and certain indices. Single-stock instruments typically fall under the SEC’s remit, making compliance, trading venue registration, and clearing requirements central to any onshore offering. Policymakers have signaled interest in moving more derivatives activity onto regulated platforms to improve investor protections and market integrity.
Why it matters
If feasible under existing rules, onshore perpetual futures on individual stocks could channel liquidity from offshore markets into U.S. venues, expand risk-management tools for institutional participants, and create clearer compliance pathways for firms bridging traditional equities and blockchain-based market infrastructure.