Jun. 3 at 2:17 PM
IMHO: Perps & prediction markets will not draw any significant money away from owning the underlying asset especially from institutional investors
Crypto perps trade w/ high leverage (often 20x to 100x) so there maybe some interest from retail for pure speculation trading
Note: You must keep enough money in your account b/c perpetual swaps are continuously marked-to-market - instead of waiting for an expiration date, crypto exchanges recalculate your profit, loss, & funding fees in real time. If your account balance drops below a specific threshold—called the Maintenance Margin—the exchange will not wait for you to deposit more money.
There’s already comparable offerings in the US that haven’t meaningfully changed how retail investors trade so far
Note: In the US, retail leverage is tightly restricted by regulators to prevent catastrophic losses: Retail stock trading accounts are bound by Reg T rules (max 2x leverage) or Portfolio Margin (usually 4x to 6x leverage, requiring a
$125,000 minimum balance).
TBF: Perpetual swaps were built natively for digital assets that trade 24/7/365. Traditional US brokerage architecture is simply not built to handle this type of continuous retail margin calculation. US stock & options markets are structurally tied to traditional banking hours. Even w/ extended-hours trading, liquidity dries up outside the standard 9:30 AM to 4:00 PM EST window anyway
Note:
$CBOE to launch pre- & post-market trading sessions for select equity options, beginning July 13, 2026. Cboe currently offers near 24x5 trading for several of its proprietary index options, including S&P 500 (SPX) Index options, Cboe Volatility Index (VIX) options, Mini S&P 500 (XSP) Index options & Russell 2000 (RUT) Index options.
In its US equities business, Cboe currently offers trading from 4 am ET to 8 pm ET on 2 of its 4 exchanges. Cboe also plans to launch 23x5 US equities trading on its Cboe EDGX Equities Exchange (EDGX) in Dec, pending regulatory approval & industry readiness.
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