Payward, the parent company of crypto exchange Kraken, is preparing to launch onchain perpetual futures trading for customers in the United States. The development was reported separately by BeInCrypto and Bitcoin.com News on September 17.
Perpetual futures, or perps, are derivative contracts that let traders take leveraged positions without an expiration date. They have become one of the most heavily traded products in crypto markets. Until now, most of that volume has flowed through offshore platforms operating outside direct US oversight.
Hyperliquid emerged as one of the largest venues for onchain perpetuals trading. Its growth highlighted a gap in the US market. American traders seeking similar products had few compliant onshore options, pushing significant volume to platforms based outside US jurisdiction.
The Trump administration has signaled support for bringing this kind of trading activity back within a US regulatory perimeter. Officials have discussed clearer rules for crypto derivatives as part of a broader push for market structure legislation. That policy backdrop has fueled speculation about which company would first deliver a compliant path for onchain perpetuals in the US.
Payward's move positions Kraken as an early mover on that front. As a licensed US exchange with existing relationships to regulators, Kraken carries infrastructure that offshore-only platforms typically lack. Launching onchain perpetuals through a regulated entity could offer traders a domestic alternative to platforms like Hyperliquid, without requiring them to route through offshore accounts.
Details on the specific regulatory approval, product structure, and rollout timeline were not fully specified in the initial reports. It remains unclear how closely the product will mirror offshore perpetuals in terms of leverage, settlement, or custody arrangements. What is clear is that Kraken's parent company is treating the US perpetuals market as an emerging opportunity, rather than ceding it entirely to offshore venues.
The timing aligns with a broader industry push to formalize derivatives trading under US law. Several exchanges and infrastructure providers have been positioning themselves ahead of anticipated legislative or regulatory clarity. Payward's announcement adds Kraken to that list of firms preparing products contingent on, or coinciding with, that clarity.
Market Impact
If Payward successfully launches compliant onchain perpetuals, it could shift trading volume away from offshore platforms toward regulated US venues. That would matter for exchanges like Hyperliquid, which built significant market share partly because no compliant US alternative existed for similar products.
A credible onshore perpetuals product could also influence how other US exchanges approach derivatives offerings. It may accelerate competitive moves from rivals seeking to avoid ceding this market segment. The extent of any shift will depend on regulatory approval, contract terms, and whether the compliant product can match the leverage and liquidity traders currently find offshore.
Payward's plan to bring onchain perpetuals to US customers marks a notable step toward domesticating a product long dominated by offshore platforms. Its ultimate impact will hinge on regulatory approval and how the product compares to existing offshore alternatives.
Frequently Asked Questions
What are onchain perpetuals?
Onchain perpetuals are perpetual futures contracts settled and tracked using blockchain infrastructure, allowing leveraged trading without a contract expiration date.
Why have perpetuals mostly traded offshore in the past?
US regulatory restrictions have limited compliant options for perpetuals trading, pushing much of that volume to platforms operating outside direct US jurisdiction, including Hyperliquid.
What is Payward's relationship to Kraken?
Payward is the parent company of Kraken, the crypto exchange reported to be preparing the US onchain perpetuals launch.
Has the product's launch timeline or regulatory status been confirmed?
Specific details on approval status, product structure, and timing were not fully disclosed in initial reporting on the plan.