Cboe Global Markets is currently assessing the potential conversion of its existing Bitcoin and Ether continuous futures contracts into perpetual futures. This shift represents a significant development in the integration of cryptocurrency trading within traditional U.S. finance.
Initially announced by Nate Geraci, the president of ETF Store, this potential conversion signals a natural progression in the evolution of products Cboe introduced just six months prior.
#What are Continuous vs. Perpetual Futures?
Continuous futures contracts, with ticker symbols PBT for Bitcoin and PET for Ether, were launched on December 15, 2025. These contracts have a 10-year expiration and utilize daily cash adjustments to imitate the continuous nature of perpetual futures. They provide a regulated alternative for investors while referencing real-time market data from Cboe Kaiko Bitcoin and Ether Real-Time Rates. This structure allows for prices to stay closely tied to the underlying asset instead of relying on traditional index values.
In exploring the transition to true perpetual futures, Cboe would eliminate the expiration terms entirely, resulting in contracts that settle continuously without a finite end date.
#Why Now?
The timing of this potential conversion is strategic. The Commodity Futures Trading Commission recently approved Kalshi's Bitcoin perpetual futures contract, which signals a regulatory shift. This regulatory approval broke ground for what many in the crypto industry had pushed for, confirming that perpetual futures can exist within the U.S. derivatives framework.
Historically, the market for perpetual futures thrived offshore on platforms such as Binance and Bybit. U.S.-regulated exchanges were excluded from this product category and restricted to offering dated futures contracts, necessitating periodic rollovers. Cboe's previous announcements indicated an intent to adapt these offshore features into a regulated environment, culminating with the December launch of Continuous Futures.
#What Does This Mean for Investors?
If Cboe does convert its offerings to true perpetual futures, it could usher in significant trading activity onshore. Institutional investors, who often have compliance requirements preventing them from using offshore platforms, would gain access to a favored trading instrument increasingly utilized by retail and crypto-native traders.
Furthermore, this move could alter competitive standings in the market. While Kalshi already offers an approved Bitcoin perpetual, a successful transition by Cboe to include both Bitcoin and Ether products would expand its offerings. This evolution may compel other major U.S. exchanges, like CME Group, to adapt and respond. If an array of regulated perpetual futures emerges, it could encroach on CME's standing in the institutional crypto futures market over time.