Webull, the retail trading platform, is partnering with Kalshi to offer US customers bitcoin perpetual futures starting in November. The contracts will be available through existing Webull Futures accounts, the company said, marking another step in the migration of crypto derivatives from offshore venues onto regulated US exchanges.
What are perpetual futures?
Perpetual futures, often called "perps," are a type of derivatives contract that has no expiration date. Unlike traditional futures, which require traders to roll over or close positions by a set date, perps can be held indefinitely. That makes them a popular tool for traders who want to maintain exposure to bitcoin without having to manage contract expirations.
Until recently, most crypto perps trading happened on offshore platforms, which often operated outside US regulatory oversight. But US regulators have begun allowing these products on registered venues, opening the door for mainstream brokers like Webull to offer them to a wider audience.
A regulated structure
Webull says its bitcoin perps will be listed on KalshiEX, a Commodity Futures Trading Commission (CFTC)-regulated exchange, and cleared through Kalshi Klear, a CFTC-regulated clearinghouse. The clearinghouse acts as the plumbing that ensures trades are settled and that losses are covered, reducing counterparty risk compared to some offshore platforms.
Webull plans to start with bitcoin and expand to other assets over time, signaling that perps are shifting from crypto-native tooling into the broader US futures market. This move follows other efforts to bring crypto derivatives into regulated channels, such as Deutsche Bank's planned crypto custody launch in Germany, which highlights the growing institutional interest in digital assets.
What it means for investors
For everyday investors, the key takeaway is that "perpetual" does not mean "hands-off." These contracts are traded on margin, meaning you only put up a fraction of the contract's value to open a position. They are also marked to market, so profits and losses are credited or debited to your account as prices move, rather than waiting for an expiry date.
Perps also use funding payments, a periodic charge or payout designed to keep the contract price close to bitcoin's market price. This creates another stream of cash in or out while you hold the position. So even without a maturity date forcing a rollover, your available margin can change day to day, and sharp moves can still trigger forced position reductions if your buffer gets too thin.
This structure is different from many offshore platforms, which may not offer the same level of regulatory protection. But it also means traders need to understand the risks of leveraged products, especially in a volatile asset like bitcoin. As gold slips and traders await the Fed's next move, the broader market remains sensitive to interest rate expectations, which can also influence risk appetite for crypto.
For those new to perps, it's worth noting that they are not suitable for everyone. The margin requirements and funding payments can quickly erode capital if the market moves against you. Webull's move is part of a broader trend of bringing crypto derivatives into the mainstream, but it doesn't change the fundamental risks involved.
As the launch approaches, investors will likely watch how the product is received and whether other brokers follow suit. The expansion of regulated crypto derivatives could provide more options for US traders, but it also underscores the need for careful risk management.
