LMAX Group Enters Crypto Derivatives Market with BTC and ETH Perpetual Futures
London-based fintech company LMAX Group has expanded into leveraged cryptocurrency derivatives by launching perpetual futures contracts on Bitcoin (BTC) and Ether (ETH) targeted at institutional traders. The announcement was made in a press release on Wednesday, highlighting strong client demand for high-leverage crypto exposure.
Product Features and Risk Management
Perpetual futures are derivatives similar to traditional futures but without a fixed expiration date, allowing continuous trading. LMAX is offering contracts with leverage up to 100 times the initial margin. Leveraging its 15 years of experience in leveraged foreign exchange (FX) and contracts for difference (CFDs), LMAX utilizes a robust risk management framework to support this product.
Pricing for the perpetual futures is derived from multiple institutional liquidity providers and incorporates the Pyth oracle, a leading first-party financial data source. Settlements occur in US dollars through traditional banking rails. The funding rate, which aligns the perpetual contract price with the underlying spot price, is applied automatically every eight hours based on the weighted average price difference.
Market Context: Perpetuals Dominate Crypto Trading
Perpetual futures have become the dominant instrument in crypto derivatives markets. According to analytics firm Kaiko, these contracts represented 68% of Bitcoin trading volume in 2025, up from 66% the prior year. Leading exchanges such as Binance, Bybit, and OKX collectively hold nearly 70% of open interest in perpetuals, with daily volumes ranging from $10 billion to $30 billion and peak days reaching $80 billion on Binance alone.
Data from CoinMarketCap shows perpetual futures accounted for $1.39 trillion in volume over the past 24 hours, far exceeding traditional futures contracts, which recorded $670.61 million. On the decentralized side, platforms tracked by DefiLlama processed $20.5 billion in 24-hour volume, with a 30-day total surpassing $683 billion and a weekly growth rate of 16.84%. Notably, Hyperliquid contributed over $65 billion in weekly volume.
Growing Institutional and Retail Access
LMAX Group’s entry into crypto perpetuals coincides with increased availability of these products in the US market. Coinbase began offering perpetual futures to US customers in July, while the Chicago Board Options Exchange (CBOE) plans to launch its perpetual futures product in November. In Europe, One Trading has introduced MiFID II-compliant perpetual futures for institutional clients, with plans to extend offerings to eligible retail investors.
These developments reflect a broader trend of institutional and retail adoption of leveraged crypto derivatives, facilitated by regulatory advancements and growing liquidity.
FinOracleAI — Market View
LMAX Group’s launch of high-leverage Bitcoin and Ether perpetual futures is likely to have a positive short-term impact by broadening institutional access to leveraged crypto products. The use of established risk management frameworks and reliable price oracles may enhance trust and attract liquidity. However, risks remain around market volatility and regulatory scrutiny, especially as leverage of up to 100x can amplify losses. Monitoring trading volumes and regulatory developments in key jurisdictions will be critical to assessing ongoing adoption and market stability.
Impact: positive
