Kraken and Hyperliquid Labs Team Up on Compliant Perpetual Contracts in the US
Hyperliquid Labs, the developer of the distributed trading platform Hyperliquid, is in talks with Payward, the parent company of cryptocurrency exchange Kraken, to bring perpetual contracts to the US market. According to Bloomberg, which first reported the news on September 1, the two companies are discussing a setup where US traders could access certain perpetual contracts tied to the price of cryptocurrencies built on Hyperliquid's blockchain technology through Bitnomial, a derivatives trading platform owned by Payward.
The terms of the trade have not been disclosed. Payward has already submitted a proposal to the CFTC outlining the basic structure of the setup, according to sources. However, Hyperliquid Labs is not registered with the CFTC, which means it cannot currently offer derivatives trading services in the US under current law.
The proposed setup would involve Bitnomial acting as the intermediary between US traders and the perpetual contracts offered by Payward through Hyperliquid's platform. Bitnomial would provide access to certain perpetual contracts tied to cryptocurrencies built on Hyperliquid's blockchain technology, assuming regulatory approval is granted.