Crypto Exchanges Push 24‑Hour Trading, Regulators Step In

CME Group is slated to launch 24‑hour cryptocurrency futures and options on May 29, following a surge in trading that hit $3 trillion in notional volume for 2025—already 46 % ahead of the yearly average. Meanwhile, ICE’s New York Stock Exchange is developing a tokenized securities platform promising round‑the‑clock operations, instant settlement, and dollar‑sized orders funded by stablecoins. Both giants are investing heavily in an always‑open market model pioneered by crypto‑native venues.

Hyperliquid: The Long‑Standing Continuous Market

Hyperliquid, a popular offshore exchange, has long offered continuous markets. In 2025 its perpetual contracts tracking WTI crude oil generated over $1.2 billion in 24‑hour volume during a spike, briefly becoming the second‑most traded product on the platform. Hyperliquid’s structure is fully on‑chain, with a pseudonymous order book and permissionless market creation. It accounts for roughly 60 % of the sector’s open interest, despite handling less than a third of total trading volume.

Regulatory Concerns

Both CME and ICE have raised concerns with U.S. regulators that Hyperliquid’s anonymous trading environment could:

• Distort oil prices
• Enable manipulation
• Allow state actors to bypass sanctions

They argue the venue’s model poses a market‑integrity risk, especially for commodity‑linked perpetuals. The exchanges cite past incidents where large, well‑timed trades on regulated platforms—such as a $950 million bet on falling oil prices before an Iran ceasefire—raised questions about insider activity. The Commodity Futures Trading Commission (CFTC) has a record of detecting and penalizing spoofing, with the largest fine in 2020 being $920 million for JPMorgan.

Potential Enforcement Outcomes

• If regulators accept CME and ICE’s framing, enforcement may focus on Hyperliquid’s commodity‑linked markets. The exchange could face:
• Access limits
• Stricter oracle disclosures
• Geographic restrictions for its oil perps

Crypto‑perpetuals would remain in a separate regulatory bucket. Hyperliquid’s 30‑day volume could shrink to $75–125 billion, with institutional flows moving toward regulated futures.

• If regulators draw a narrow line protecting crypto‑native markets while targeting only commodity perps, Hyperliquid could keep its dominant position. 30‑day volume might rise to $225–325 billion.

The Broader Implication

The outcome hinges on whether regulators view the issue as a genuine market‑integrity concern or an incumbent’s attempt to regain competitive advantage. The next decade could see a decisive shift in who controls the default trading infrastructure for continuous markets—especially when oil remains a volatile and high‑demand asset.