Regulatory Milestone: A 24/7 Equity Perpetuals Market
The Amsterdam-based fintech and venue operator One Trading has secured an important regulatory extension that clears the path for 24/7 perpetual futures on equities. This marks what the company describes as the first-ever occurrence of a fully continuous, exchange-like market for equity perpetuals within a regulated financial framework. The decision, granted by the Dutch Authority for the Financial Markets (AFM), expands One Trading’s licensing capabilities and signals a potential shift in how markets could operate beyond traditional trading hours.
What Are Equity Perpetuals and Why They Matter
Equity perpetuals are a type of derivative contract that does not have an expiry date. Traders can maintain positions as long as they meet margin requirements, and funding mechanisms—often designed to keep the contract price tethered to the underlying equity—continue on a loop without a natural settlement date. By offering these contracts on a 24/7 basis, One Trading proposes to provide around-the-clock price discovery, liquidity, and risk management opportunities for market participants across multiple time zones.
Regulatory Context and Implications
The AFM’s endorsement is a significant vote of confidence in a model that blends automated trading infrastructure with regulated oversight. For investors, the extension promises a more consistent trading experience, where pricing and risk signals can be observed and acted upon regardless of traditional market hours. For One Trading, the milestone cements its position as a leading innovator in the European regulatory landscape, framing the Netherlands as a testing ground for modern, perpetual-style financial products within a compliant framework.
Operational Readiness and Risk Management
Future deployment will hinge on the platform’s ability to manage continuous liquidity provision, funding rate stabilization, and real-time risk controls. Expect robust margin frameworks, governance protocols, and surveillance tools designed to prevent manipulation and to protect retail and institutional participants alike. The company has indicated that the market will feature transparent disclosure of funding costs and an accessible order book to ensure fair price formation during all hours.
What This Means for Traders and Institutions
For traders, the ability to hold or unwind perpetual equity positions at any time offers new flexibility, particularly for those hedging exposure across international portfolios. Institutions may leverage 24/7 perpetuals to implement continuous tactical strategies, manage cross-border risk, or explore strategies that benefit from persistent liquidity. In a regulatory environment that already emphasizes investor protection, the extension is expected to come with rigorous reporting, compliance checks, and clear customer disclosures.
Strategic Significance for One Trading
This development reinforces One Trading’s strategy to push the boundaries of capital markets within a regulated framework. By expanding its license to include 24/7 equity perpetuals, the firm is likely aiming to attract more market makers, algorithmic traders, and asset managers who demand round-the-clock access to European-market instruments. The move could spur further product innovation and potentially invite other regulators to explore similar models under prudent supervision.
Future Outlook
While the first live deployment will be closely watched, momentum suggests that 24/7 equity perpetuals could become a new normal for properly regulated venues. If the model proves resilient, investors may come to rely on continuous pricing signals, while exchanges and platforms will refine mechanisms to ensure fairness, transparency, and deep liquidity around the clock. The AFM’s approval sets a high bar for compliance, technology, and risk controls—an important precedent for future expansion of perpetual-style products in regulated markets.
