Key Insights:
- Hyperliquid News reports that HPC is asking the CFTC to approve regulated energy perpetual contracts in U.S. markets.
- Crypto Regulation CFTC is gaining attention as HPC seeks rules for 24/7 energy trading and onchain infrastructure.
- Hyperliquid liquidity remains strong as trade[XYZ] energy markets surpass $500 billion in cumulative volume.
Hyperliquid news is drawing attention following a request by the Hyperliquid Policy Center (HPC) for the CFTC to permit energy perpetual contracts in the U.S. HPC explained that regulated, round-the-clock markets could assist companies in managing oil and gas price risk when conventional exchanges are shut during unexpected market events.
Hyperliquid News Pushes for CFTC Approval
The Hyperliquid Policy Center and trade[XYZ] submitted a joint comment letter to the Commodity Futures Trading Commission, requesting that the regulatory body establish a compliant pathway for energy perpetual contracts within the United States.
This appeal follows the CFTC’s initial exploration of perpetual contracts beyond the digital asset sector. Back in May, the CFTC permitted the first perpetual contracts to operate as futures on a U.S. exchange, though those offerings were restricted to digital asset underliers. The Commission later noted that additional asset classes, including energy, required deeper evaluation.
In June, the CFTC issued a call for comments regarding energy perpetual contracts linked to physically delivered, storable commodities. This review encompasses contract design, reference pricing, clearing mechanisms, customer protections, market integrity, and continuous trading parameters.
HPC highlights that energy perpetual contracts could function alongside standard dated futures rather than supplant them. Unlike traditional dated futures, perpetual contracts have no expiration date, enabling traders to maintain exposure without rolling over positions from one contract month to another.
According to the Hyperliquid updates, the advocacy group also emphasizes smaller contract sizes. While a standard WTI futures contract accounts for 1,000 barrels, the median off-hours crude oil transaction on trade[XYZ] sits at approximately $1,300.
Crypto Regulation CFTC Debate Gains More Attention
The push surrounding Crypto Regulation CFTC arrives as the industry tests whether traditional financial markets can sustain trading activity around the clock. HPC referenced a recent Middle East conflict as a prime example: when energy exports suffered disruptions and oil markets were closed, traders outside the U.S. leveraged oil-linked perpetual contracts available on Hyperliquid.
Based on the Hyperliquid reports, the group stated that roughly two-thirds of the overall price movement occurring between Friday’s close and Sunday’s reopening had already materialized onchain prior to the reopening of conventional markets.
CME CEO Terry Duffy has similarly emphasized the rising influence of 24/7 markets. Speaking at an August 20 CFTC meeting, Duffy expressed the CME’s intent to introduce a 24/7 oil trading venue in the U.S., pointing out that smart contracts instead of banks and brokers.">decentralized finance markets are already impacting traditional finance.
For ongoing Crypto Regulation CFTC discussions, this dynamic increases pressure to evaluate how U.S. marketplaces can function effectively when significant price action occurs outside standard trading hours.
HPC maintains that onchain systems are capable of supporting continuous clearing, margining, and market surveillance. It notes that positions are pre-funded and that margin requirements are verified for every single transaction. Additionally, its metrics demonstrate that standard order book liquidations successfully absorbed 97.9% of leveraged position when margin no longer covers losses.">liquidated notional volume across trade[XYZ] markets.
Hyperliquid Liquidity Showcases Demand
The Hyperliquid liquidity argument remains fundamental to the petition. Trade[XYZ], recognized as the first and largest third-party deployer of perpetual markets on Hyperliquid, provides trading pairs for WTI, Brent, and Henry Hub natural gas.
These markets have generated in excess of $500 billion in cumulative trading volume since their inception in October 2025. HPC utilizes this trading activity to illustrate existing market demand for energy exposure via perpetual contracts.
The organization revealed that its study found nearly 75% of sampled weekend closures resulted in the crude oil perpetual price landing closer to the benchmark’s Sunday reopening price than the benchmark’s original Friday close. Furthermore, the analysis concluded that the presence of the perpetual market did not cause any statistically significant drop in the quality of CME WTI market reopenings.
HPC outlined five key recommendations for the CFTC, advocating for a technology-neutral framework, explicit guidelines for 24/7 exchanges, and a clarification of business-day mandates. The proposal also requests that stablecoins and tokenized traditional collateral be acknowledged as eligible margin, alongside permission for regulated markets to leverage onchain infrastructure provided CFTC standards are satisfied.
The initiative does not call for brand-new legislation. Instead, HPC asserts that the current CFTC framework is fully capable of accommodating energy perpetual contracts when paired with appropriate safeguards like leverage caps and transparent disclosures regarding funding and liquidation terms.
FAQs
What is Hyperliquid requesting from the CFTC?
The Hyperliquid Policy Center (HPC) is asking the CFTC to establish a regulated pathway allowing energy perpetual contracts in U.S. markets.
What cumulative trading volume have trade[XYZ] energy markets reached?
Trade[XYZ] energy markets have surpassed $500 billion in cumulative trading volume since launching in October 2025.
Why does HPC believe perpetual contracts are useful during market closures?
HPC argues that 24/7 perpetual contracts let businesses manage price risk when traditional venues are closed during sudden market disruptions.
Does HPC’s proposal require new legislation?
No, the proposal does not seek new legislation, arguing that existing CFTC frameworks can support these contracts with proper safeguards.
