In a major move for the crypto derivatives market, the Singapore Exchange (SGX) has revealed plans to launch Bitcoin perpetual futures in the second half of 2025. This development positions SGX as a significant player in the integration of digital assets into traditional finance, targeting institutional and professional investors.
Bitcoin perpetual futures are derivative contracts that allow traders to speculate on Bitcoin’s price movements without actually owning the asset. Unlike traditional futures, perpetual futures have no expiration date, providing continuous trading with leverage. This flexibility makes them highly attractive in the crypto trading space, especially among institutional investors seeking exposure to digital assets within a regulated environment.
SGX’s decision to exclude retail traders underscores the high-risk nature of these instruments and reflects the exchange’s focus on providing a secure platform for sophisticated market participants. The launch will be subject to approval by the Monetary Authority of Singapore (MAS), ensuring compliance with the city’s stringent regulatory framework under the Payment Services Act.
This move is widely seen as a strategic response to the growing demand for institutional-grade crypto products. Many experts view SGX’s entry into the crypto derivatives space as a step toward legitimizing Bitcoin as a mainstream investment asset. Shi Le, managing director at crypto trading firm Auros, highlighted that SGX’s regulated platform could significantly enhance investor trust by mitigating counterparty risks, a major concern for many in the crypto market.
The introduction of Bitcoin perpetual futures by SGX aligns with Singapore’s proactive regulatory approach, which has seen the MAS grant 13 cryptocurrency licenses in 2024, doubling the number issued in 2023. This initiative positions SGX as a competitive force in the global market, especially with institutions like Standard Chartered and Fidelity already active in crypto custody.
According to industry professionals, this could be the first of many Bitcoin products from SGX, potentially expanding their crypto offerings in the future. Darius Sit from QCP suggested that SGX’s Bitcoin futures could drive further innovation in regulated markets. Additionally, Singapore’s Aa2 credit rating from Moody’s boosts SGX’s credibility, making it an appealing platform for investors wary of unregulated crypto exchanges.
This move underscores the transformative trends in global finance, as traditional financial institutions are increasingly exploring crypto opportunities. In Asia, both Singapore and Hong Kong are vying to become the region’s crypto capital, with both jurisdictions fostering regulated innovations. SGX’s Bitcoin perpetual futures launch is expected to enhance liquidity and provide a robust platform for hedge funds and asset managers looking to trade Bitcoin derivatives.
Saad Ahmed from Gemini noted that this marks the growing maturity of the crypto industry in the Asia-Pacific region, where institutional interest is soaring. SGX’s initiative further solidifies Singapore’s position as a hub for digital assets, providing a regulated environment for institutions and investors alike.
Sources:
- Singapore Exchange Plans to Roll Out Bitcoin Perpetual Futures in 2025
- https://www.crowdfundinsider.com/2025/04/238736-singapore-exchange-sgx-to-launch-bitcoin-perpetual-futures-in-2025/