The Singapore Exchange has secured authorization from the US Commodity Futures Trading Commission allowing eligible American institutional investors to trade its Bitcoin and Ether perpetual futures contracts. The clearance, granted under Regulation 48.10, enables US participants to access SGX’s existing order books without the exchange establishing a separate US-registered entity.

Regulation 48.10 permits a registered Foreign Board of Trade recognized by the CFTC to provide direct electronic access to qualifying US market participants. SGX, operating under this framework, can now open its crypto derivatives products to US institutional desks while remaining subject to CFTC oversight.

Lam described the development as an important milestone that bridges US traditional finance participants trading crypto futures with Asian liquidity pools and supports the recognition of crypto derivatives as a regulated asset class.

Trading Performance Since Launch

SGX introduced the Bitcoin (BTP) and Ether (ETP) perpetual futures in late November 2025. Since then the contracts have generated $5.8 billion in cumulative trading volume, equivalent to roughly 400,000 lots. Open interest across both products stood at 1,300 lots, or about $19 million, at the end of August.

Bitcoin has dominated activity, accounting for 66 percent of open interest and 83 percent of average daily trading volume since inception. The busiest single session recorded 11,500 lots, representing $145 million in notional value.

Market participants currently use the contracts for directional positions linked to broader macroeconomic themes as well as arbitrage strategies that capture funding-rate and pricing differentials across venues.

Risk Framework and Contract Design

SGX’s perpetual futures differ from many crypto-native products in their risk management approach. The contracts carry no expiry date, yet the exchange employs margin calls and requirements for additional collateral rather than automatic liquidations. This structure is intended to reduce the risk of forced position closures during sharp market moves.

Trading and clearing functions remain separated, with clearing members serving as an intermediate risk buffer. The exchange does not accept stablecoins as collateral, citing the possibility that they can lose their peg during volatile periods. The contracts are benchmarked to indices developed jointly with CoinDesk Indices and managed under the European Union Benchmark Regulation.

Onboarding Timeline and Next Steps

US institutions will access the contracts through clearing members. The process involves know-your-customer checks, account funding and API connectivity, typically requiring two to four weeks. SGX has completed its FIS-enabled back-office integration and is preparing US clearing members to begin onboarding clients over the coming one to two months.

Looking ahead, the exchange plans to introduce dated futures and options on Bitcoin and Ether as its next product step. Once the necessary infrastructure is in place, adding further major cryptocurrencies is expected to become a more routine process. SGX has indicated it will pursue expansion in a measured, step-by-step manner.

The regulatory clearance removes a previous barrier that kept US institutions from participating directly in SGX’s crypto perpetual futures market. Actual trading activity from American desks will depend on the pace of client onboarding through clearing members in the weeks ahead.