HPC Proposes to SEC and CFTC: Call for Unification of Regulatory Framework for Stock Futures and Perpetual Bond Transactions

HPC (Hyperliquid Policy Center) submitted a statement to the SEC (Securities and Exchange Commission) and CFTC (Commodity Futures Trading Commission), the major regulatory bodies in the United States, on August 24, 2026 (Monday).

The perpetual contracts, which boast a trading volume of hundreds of billions of dollars, still lack a clear answer to the most fundamental question under U.S. law: whether they are futures or swaps. A federal judge has addressed this issue...

Regarding stock perpetuals—derivative products with no expiration date—HPC is advocating for those meeting certain criteria to be classified as "securities futures" and for the establishment of clear unified rules.

Under current U.S. federal law, derivatives are broadly classified into two categories: "futures" and "swaps." However, perpetual futures, which adjust price discrepancies with the underlying asset through funding payments, possess characteristics of both, leaving their legal classification ambiguous.

In response, HPC argues that the criteria for contract classification should be based on market functions such as "standardized contract terms" and "settlement possibilities through opposing trades," rather than the type of underlying asset. By applying the established category of "securities futures," which both agencies have jurisdiction over, it suggests that a pathway to listing on domestic exchanges could be opened immediately through interpretative guidelines and policy statements, without formal legal amendments.

Rapidly Expanding Market Size and Deepening Regulatory Discussions

The background of this proposal is the explosive growth of perpetual trading targeting both crypto assets and traditional assets.

In the "HIP-3" market of HPC's related protocol Hyperliquid, the assumed principal trading volume for stock indices, individual stocks, and commodities surpassed $480 billion (approximately ¥76.3 trillion) within just 10 months of service launch, with open positions reaching about $4 billion (approximately ¥636.07 billion). However, due to the lack of a legal framework in the U.S., much of this liquidity is being formed in overseas markets (offshore).

Efforts to establish regulations are also beginning within the U.S. In May, the CFTC granted initial approval for Bitcoin perpetual futures (BTCPERP) provided by Kalshi as a "futures" product. Meanwhile, the CME Group has raised legal objections to this approval, leading to ongoing disputes in the market over whether they are futures or swaps.

Furthermore, on the political front, former President Trump has mentioned the consideration of compliance measures for Hyperliquid's entry into the U.S. market by CFTC Chairman Michael Selig, indicating a growing interest in onshoring the domestic market. If common classification standards are established, significant improvements in market transparency and liquidity are expected.