Key Facts

• The Commodity Futures Trading Commission is soliciting public input on 24/7 trading for traditional energy derivatives and perpetual contracts, following concerns from industry leaders.
• Industry heavyweights have raised concerns about offshore platforms and excessive levels of risk associated with perpetual contracts and 24/7 trading for energy derivatives.
• The CFTC's move to seek input aims to address potential risks and ensure oversight in the energy derivatives market, which has seen significant growth in recent years.
• Perpetual contracts, also known as energy perpetuals, are a type of derivative that allows for continuous trading without expiration dates, which may pose unique risks and challenges for regulators.
• The CFTC's request for public input is an effort to gather information and assess the implications of 24/7 trading and perpetual contracts on the energy derivatives market, and to inform potential future regulatory actions.