The Singapore Exchange launched bitcoin and Ethereum perpetual futures for institutional investors in November, driven by demand from a highly leveraged market that places bets worth hundreds of billions of dollars on the spread between spot and futures prices. SGX targets investors who profit from the difference between spot and futures prices, signaling a focus on basis trading.
The development underscores continued interest in crypto derivatives among institutional traders. It highlights an ongoing shift toward more sophisticated trading strategies centered on spot-futures spreads.
The launch could attract additional hedging and arbitrage activity as institutions adapt to crypto derivatives. SGX’s new offerings may influence liquidity and price discovery in the region’s digital asset markets.
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