Coinbase Derivatives has filed a rule framework for cash-settled futures tied to individual U.S. equities and exchange-traded fund shares, including perpetual single-stock futures.
The proposal is a major convergence point between crypto derivatives design and traditional U.S. securities regulation.
But the most important current fact is regulatory status:
The CFTC has not yet approved the proposed rule change.
What Coinbase Derivatives filed
On September 18, Coinbase Derivatives submitted a proposed rule change to the SEC establishing a new rule chapter for Security Futures Products.
The filing covers cash-settled futures on:
- individual equity securities;
- ETF shares;
- perpetual single-stock futures.
Coinbase Derivatives filed the proposal concurrently with the CFTC for approval.
Why both the SEC and CFTC matter
Single-stock futures in the United States are security futures products.
They therefore sit in a joint regulatory framework involving both:
- the Securities and Exchange Commission;
- the Commodity Futures Trading Commission.
Coinbase Derivatives is a CFTC-designated contract market and has notice-registered with the SEC as a national securities exchange for the limited purpose of security futures products.
No fixed expiration
The proposed perpetual contracts differ from traditional futures because they have:
no scheduled final expiration date.
They are cash settled and do not provide delivery or ownership of the underlying stock.
Instead of expiring into settlement, perpetuals use funding/index mechanisms to keep the contract price aligned with the referenced equity.
What Chapter 12 is designed to govern
The SEC notice describes proposed rules covering:
- listing standards;
- contract specifications;
- corporate-action adjustments;
- trading hours;
- trading halts;
- position limits;
- daily settlement;
- index prices;
- funding payments;
- wind-down / termination / delisting;
- clearing;
- disclosure;
- data publication.
This is materially more than simply “Coinbase wants to list AAPL perps.”
It is a proposed market rulebook for a new security-futures product class.
Listing standards are deliberately restrictive
The SEC filing describes stringent initial eligibility standards for underlying securities.
Examples include requirements around:
- large market capitalization;
- high average daily trading value;
- sufficient deliverable/public supply;
- national-exchange listing;
- minimum holder counts for common stocks.
The framework is therefore designed for highly liquid large-cap equities/ETFs rather than illiquid small-cap stocks.
Regulatory halts must propagate
The proposal includes treatment for regulatory trading halts in the underlying security.
A stock perpetual cannot reasonably continue independent price discovery during a regulatory halt without creating severe manipulation and stale-price risk.
The rule framework therefore ties contract treatment to underlying-market events.
Corporate actions are a major operational challenge
Perpetual equity futures must handle events such as:
- stock splits;
- reverse splits;
- dividends;
- special dividends;
- spin-offs;
- mergers;
- tender offers;
- ticker changes;
- delistings.
Unlike Bitcoin perpetuals, an equity contract references an asset with corporate governance and issuer events.
The filing therefore includes dedicated corporate-action adjustment procedures.
Why this is relevant to crypto market structure
Perpetual futures are one of the most important product structures in offshore crypto markets.
Bringing that structure to regulated U.S. equities could:
- extend trading hours;
- create leveraged exposure without stock ownership;
- connect crypto-native trading behaviour to securities markets;
- increase competition with options/futures/brokerage products;
- create new cross-market funding and basis dynamics.
It also introduces risk around overnight liquidity, funding rates and divergence from the cash equity market.
Not live yet
The SEC notice explicitly states Coinbase Derivatives submitted the proposed rule change to the CFTC for approval and that:
the CFTC has not yet approved it.
Users should not interpret SEC publication as a launch approval.
Evidence Status
Confirmed / Official SEC
- Filing dated September 18.
- Cash-settled futures on individual equities and ETFs.
- Perpetual single-stock futures included.
- No fixed expiration for perpetual contracts.
- CDE registered as DCM and notice-registered as an exchange for security futures.
- Concurrent CFTC approval request.
- CFTC approval not yet granted at the time of the notice.
Developing
- CFTC approval outcome.
- Final margin rules.
- Initial product list.
- Launch date.
- Customer eligibility.
- Actual liquidity and funding behaviour.
Risk Assessment
Medium market-structure / leverage risk today.
The framework is potentially important, but it remains pending and creates no immediate customer forced action.
What to Watch Next
CFTC decision, SEC comments, margin filing, first contract appendices, launch timing, trading hours, broker access and any court/regulatory challenge to perpetual security futures.
FAQ
Are Coinbase stock perpetuals live?
No.
What is pending?
CFTC approval of the proposed rule change/product framework.
Do the contracts deliver stock?
No. The proposed perpetual contracts are cash settled.
Do they expire?
The proposed perpetual contracts have no scheduled expiration date.
Why is the SEC involved if these are futures?
Single-stock futures are security futures products subject to a joint SEC-CFTC framework.
Is this the same as a tokenized stock?
No. A stock perpetual is a derivative referencing an equity; it does not convey ownership of the underlying share.