Cboe Launches Continuous Bitcoin & Ethereum Futures

Cboe Global Markets, which operates the largest options exchange in the United States, unveiled continuous futures for Bitcoin and Ethereum in a move explicitly designed to capture market share from offshore perpetual futures trading. Rob Hocking, Cboe’s Global Head of Derivatives, stated in the announcement that “As perpetual futures have historically been traded offshore, Cboe is excited to help expand access to these products within a U.S.-regulated, transparent, and intermediary-friendly environment.” The statement directly acknowledges the exchange’s intention to compete with platforms like Binance and Bybit, where traders have traditionally accessed derivatives without expiration dates.

The timing of Cboe’s entry reflects growing institutional demand for crypto derivatives within regulated frameworks. According to crypto data provider CoinGlass, the total value of all outstanding Bitcoin futures contracts reached $65.8 billion on Monday, with CME accounting for $13 billion and Binance for $12.5 billion. This substantial market size, coupled with the emergence of decentralized alternatives like Hyperliquid and Aster earlier this year, underscores the competitive landscape Cboe is entering. The continuous futures products are scheduled to begin trading next month.

Cboe’s continuous futures represent a significant technical innovation in traditional derivatives markets. Unlike conventional futures contracts that carry specific monthly or quarterly expiry dates—requiring traders to close expiring positions and open new ones to maintain exposure—these new derivatives feature a 10-year lifecycle with daily cash adjustments. This structure closely mirrors the functionality of perpetual crypto futures while operating within regulated market parameters. The products will utilize underlying price data from crypto analytics firm Kaiko, ensuring robust pricing mechanisms.

The operational advantages are substantial for institutional investors. Anne-Claire Maurice, Kaiko’s managing director of derived data, emphasized that “These continuous futures eliminate the operational friction of rolling positions while maintaining the transparency and oversight that regulated markets provide.” This addresses a key pain point for traditional financial institutions that have been hesitant to engage with offshore crypto exchanges due to regulatory concerns and operational complexities. The daily cash adjustment mechanism serves to anchor prices to the underlying assets, similar to the funding rate mechanism used in perpetual futures.

Cboe’s launch positions it in direct competition with CME Group, which introduced “spot quoted futures” for Bitcoin and Ethereum in April. CME’s derivatives offer exposure to the same assets with up to five years of holding capacity without position rolling requirements. Both exchanges are targeting the same institutional investor base seeking regulated crypto exposure, though Cboe’s 10-year lifecycle provides additional flexibility for long-term positioning. The parallel developments from these major traditional exchanges signal accelerating institutional adoption of crypto derivatives.

The market infrastructure supporting these products reflects the maturation of crypto trading ecosystems. Kaiko’s involvement as the price data provider for Cboe’s continuous futures demonstrates the growing integration between traditional financial data services and crypto markets. Hyperliquid, which recorded $3 billion in outstanding Bitcoin futures contracts according to CoinGlass data, represents the decentralized finance (DeFi) alternative that has gained traction alongside centralized offshore exchanges. This multi-layered competitive environment highlights the diverse approaches emerging to serve different segments of the crypto derivatives market.

As regulatory scrutiny of offshore crypto exchanges intensifies, Cboe’s regulated continuous futures products address what Anne-Claire Maurice described as “a real need for institutional investors.” The combination of familiar perpetual futures mechanics with U.S. regulatory oversight creates a compelling proposition for traditional financial institutions that have remained on the sidelines of crypto derivatives trading. With Cboe and CME both expanding their crypto derivative offerings, the infrastructure for institutional participation continues to strengthen, potentially driving further market growth and legitimization.