AInvest Newsletter
Daily stocks & crypto headlines, free to your inbox
The Singapore Exchange (SGX) is set to introduce
futures in the latter part of 2025, with a focus on attracting large investors and professional traders. This initiative underscores Singapore's commitment to becoming a leader in safe and intelligent crypto regulation. The SGX is awaiting approval from the Monetary Authority of Singapore (MAS), and once granted, this move will mark a significant milestone in integrating Bitcoin trading into traditional financial markets.SGX's decision to launch Bitcoin perpetuals, which are contracts without an expiration date, allows institutional investors and asset managers to maintain positions indefinitely. This shift emphasizes a more stable, long-term approach to trading Bitcoin within a regulated and trusted market. Unlike unregulated offshore platforms that offer similar products, SGX provides a safer trading environment backed by stringent local regulations. This move is particularly appealing to institutional investors who prioritize risk management and compliance.
While this product is primarily targeted at institutional players, the influence of big money on the market cannot be overlooked. Experienced retail investors often monitor BTC derivative volumes to gauge market trends, as institutional involvement can provide more reliable indicators than daily crypto hype. Tools like the Tradingview Singapore platform help retail investors track institutional behavior, offering insights into broader market movements.
SGX's entry into the crypto derivatives market addresses two major concerns for institutional investors: counterparty risk and compliance standards. By offering a trusted and credible platform, SGX enables experienced traders and funds to engage in Bitcoin perpetual futures trading within a regulated framework. This development is a game-changer, allowing institutions to incorporate Bitcoin exposure into their strategies without compromising internal risk policies or custody requirements. SGX's reputation as one of Asia's most respected exchanges adds an additional layer of credibility, transforming what was once a risky venture into a structured opportunity.
The approval from MAS is crucial for the credibility of SGX's Bitcoin perpetual futures. It ensures that these futures meet the highest compliance and risk standards, making them attractive to serious investors both domestically and internationally. Singapore's growing status as a crypto hub is evident in the doubling of crypto licenses granted in 2024 and the MAS's continuous updates to guidelines. The region's strict checks and balances ensure that innovation thrives while keeping out bad actors, sending a clear signal that Singapore is open to digital assets under proper regulation.
The launch of this new product is expected to drive more liquidity to BTC futures markets in Asia, creating a trusted venue for hedge funds, asset managers, and trading desks. It provides a professional-grade infrastructure for complex trading strategies, appealing to both traditional finance (TradFi) and decentralized finance (DeFi) participants. For institutions operating in strict jurisdictions, this move solves the problem of gaining Bitcoin exposure without resorting to unregulated offshore platforms.
SGX's approach sets a blueprint for how exchanges can safely and effectively bring institutions into the crypto space. By prioritizing regulation and focusing on large market players, SGX demonstrates a serious method to bridge traditional finance with digital assets. If other exchanges adopt this approach, especially those in tightly regulated markets with large capital pools, it could lead to higher trading volumes driven by funds and asset managers, resulting in safer and more stable markets backed by real oversight.
Beyond Bitcoin, this move opens the door for other digital assets to enter traditional portfolios under strict compliance standards. It represents a step toward institutional standardization, where crypto is no longer seen as an outsider but as an integral part of the core financial system. SGX's launch of Bitcoin perpetual futures signals a turning point for institutional crypto in Asia, showcasing how digital assets can integrate into mainstream finance while maintaining trust and stability. This development could inspire similar steps from other major exchanges, deepening liquidity and broadening access across the region.

Quickly understand the history and background of various well-known coins

Dec.02 2025

Dec.02 2025

Dec.02 2025

Dec.02 2025

Dec.02 2025
Daily stocks & crypto headlines, free to your inbox
Comments

No comments yet