Hyperliquid Policy Center and tradeXYZ want the CFTC to create a regulated route for U.S. energy perpetuals. Their proposal targets weaknesses exposed during the Middle East conflict. Oil markets closed as geopolitical risks intensified, leaving businesses without hedging tools. Meanwhile, offshore traders used Hyperliquid’s oil contracts before reopening.
Different Model for Energy Markets
The groups argue that perpetuals could complement dated futures. Perpetuals avoid rollovers and concentrate liquidity. Smaller contracts could give businesses access to crude exposure.
Moreover, the groups refer to onchain infrastructures as the basis for ongoing trading. Hyperliquid markets feature automatic margin checks, liquidations, and records. Consequently, participants can manage positions throughout weekends and market closures.
The CFTC approved regulated perpetuals in May. But the approval applied to digital assets, not energy contracts. Its June request examined continuous trading, pricing, clearing, collateral, and protection.
Path Toward Regulated Access
HPC and tradeXYZ seek technology-neutral rules, leverage limits, clearer funding disclosures, and continuous clearing standards. Moreover, they want stablecoins and tokenized assets recognized as eligible collateral.
Significant, they say that derivatives rules can be used for 24/7 markets. As a result, the offer might answer the question of whether regulators can modernise commodity markets without losing the protections.
Related: RWA Trading Is Surging in 2026: What’s Driving the Tokenization Boom?
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
Be the first to comment