Hyperliquid HYPE rally lifted the token over 10% to $90. ICE, the NYSE owner, unveiled plans for U.S. perpetual futures. Consequently, traders bought HYPE.
ICE is partnering with Trade[XYZ] on the proposed venue. The venue would use Hyperliquid infrastructure. It would also require CFTC approval.
Why the Hyperliquid HYPE rally matters
First, the plan would create a dedicated U.S. market. It would offer perpetual futures around the clock. Contracts would cover stocks, indices, commodities, FX, and crypto. Therefore, the venue would expand Trade[XYZ]’s existing markets.
Perpetual futures have no expiration date. As a result, traders can hold positions outside normal hours.
ICE will run the regulated venue. It will set up exchange and clearing systems in parallel. ICE will also invest in Trade[XYZ], but it did not reveal the amount. Other investors include Stan Druckenmiller.
Trade[XYZ] said its Hyperliquid markets passed $650 billion in volume. That happened in less than a year. The news follows Ripple Prime’s traditional-finance perpetuals. Those products use Trade[XYZ] on Hyperliquid.
CFTC review will determine US launch timing
The partners must seek CFTC approval before launch. They plan regulated clearing and identity checks. They also plan anti-money-laundering controls. Additionally, they need approval for leveraged contracts.
Customers would trade through participating brokers and platforms. For example, one route is ICE’s joint venture with OKX. The business would be separate from ICE’s institutional futures operations. However, no company has given a launch date.
The proposal follows Payward’s plan for regulated Hyperliquid perpetuals. Payward is Kraken’s parent company. It outlined a structure involving Bitnomial. Conversely, ICE and Trade[XYZ] intend a dedicated venue.
Trade[XYZ] expands 24/7 markets beyond crypto
Meanwhile, Trade[XYZ] will continue expanding its HIP-3 markets. These markets serve eligible non-U.S. investors. They cover stocks, commodities, and currencies outside regular hours.
The platform already offers an officially licensed S&P 500 perpetual. It launched in March. The product uses S&P Dow Jones Indices data. Thus, it allows trading when U.S. exchanges are closed.
Trade[XYZ] also introduced pre-IPO perpetual contracts. These track expected share prices before public listings. However, they do not give traders ownership of shares. The company plans more asset classes and features. Meanwhile, it pursues its separate U.S. venture with ICE.
Key takeaway
Overall, Hyperliquid HYPE rally hit $91 on ICE’s plan. The proposal still needs CFTC approval. Therefore, launch timing remains uncertain. Traders should watch regulatory updates.