SGX Plans to Launch Bitcoin Perpetual Futures
Singapore Exchange Ltd. (SGX) is considering launching Bitcoin (BTC) perpetual futures as traditional financial institutions deepen their involvement in the crypto industry, according to a Bloomberg report.
Introduction of Bitcoin Perpetual Futures
- SGX plans to introduce the contracts in the second half of 2025, pending approval from the Monetary Authority of Singapore (MAS).
- The futures will be limited to institutional clients and professional investors, excluding retail traders.
Bridge Between Regulated Markets and Crypto Sector
- SGX aims to bridge the gap between regulated financial markets and the crypto sector.
- The product is expected to provide institutions with exposure to digital assets while mitigating risks associated with unregulated platforms.
Unique Features of Perpetual Futures
- Perpetual futures do not have an expiration date, allowing traders to speculate continuously on BTC’s price movements without direct ownership.
Institutional Interest in Bitcoin
- SGX’s interest in Bitcoin’s future reflects a growing trend of traditional financial institutions entering the crypto space.
- Recent regulatory developments in the United States have further encouraged institutional interest in Bitcoin.
Singapore as a Crypto Hub
SGX’s initiative aligns with Singapore’s strategy to establish itself as a digital assets hub in Asia.
Regulatory Support for Crypto Innovation
- Singapore’s regulatory framework has expanded to support responsible crypto innovation, making it a stable and business-friendly environment.
Attractiveness for Digital Asset Investments
- Singapore’s progressive approach has made it an attractive destination for long-term digital asset investments.
- The country has issued crypto licenses to major industry players, including exchanges like OKX and Gemini.
