Hyperliquid predicted 80% of oil move before traditional exchanges opened, says expert report
TD Securities says “perpetual futures” are exploding beyond crypto as platforms like Hyperliquid outpace traditional Wall Street exchanges on everything from pre-IPO tech stocks to weekend oil trading.
What to know:
- Perpetual futures, once a niche crypto instrument, are evolving into a broader market-structure product that could span commodities, equities and private markets, according to TD Securities.
- Recent U.S. regulatory moves and rising institutional demand, including CFTC approval of bitcoin perpetuals on Kalshi and Coinbase’s plans for equity-index perps, are accelerating the shift.
- Platforms like Hyperliquid are testing traditional exchanges’ roles in price discovery by offering commodity and pre-IPO perpetual futures, prompting scrutiny and competitive responses from incumbents such as CME and ICE.
The bank said recent regulatory developments in the U.S. and growing institutional demand are helping transform perpetual futures, commonly known as “perps,” from a niche crypto instrument into a market structure that could eventually span commodities, equities and private-market investing.
“PERPs are no longer just a crypto product. They are becoming a broader market-structure product,” TD Securities wrote.
Perpetual futures differ from traditional futures because they do not expire. Instead, they rely on funding-rate mechanisms that keep prices aligned with underlying markets. The contracts have become the dominant trading vehicle in crypto, accounting for roughly 80% of global digital asset trading volumes, according to TD.
Momentum accelerated last month when the Commodity Futures Trading Commission (CFTC) allowed bitcoin perpetual futures to trade on prediction market platform Kalshi. Around the same time, Coinbase (COIN) announced plans to launch U.S. equity-index perpetual futures and moved closer to connecting American customers with offshore perpetual futures markets.
