Arthur Hayes: It is expected that price discovery for the largest tech stocks in the US will take place in the Perptual Futures market.

On November 28, Arthur Hayes, co-founder of CEX, stated that “traditional finance (TradFi) is desperately trying to maintain its dominant position in stock trading. It will be very interesting to observe how they respond as stock index perpetual futures rapidly gain market recognition. The first market to dominate the perpetual futures space will be offshore trading of U.S. stock price risks. U.S. stocks, and all stocks, will ultimately be tokenized. However, stock index perpetual futures can succeed without relying on stock tokenization. There is already mature infrastructure for stock perpetual futures that can be rapidly scaled. Currently, the daily trading volume of stock index perpetual futures has exceeded $100 million. As traders and market makers become familiar with the contract specifications, the trading volume will soon reach billions of dollars per day. Considering that various global announcements often emerge after the TradFi market closes on Fridays, stock index perpetual futures will become a tool for institutions and retail investors to hedge risks over the weekend. This will force major U.S. securities trading platforms to implement 24/7 trading faster than originally planned. I predict that by the end of 2026, price discovery for the largest tech stocks and major indices (such as the S&P 500 and Nasdaq 100) will occur in the retail-focused perpetual futures market. When financial media display the S&P 500 perpetual futures quotes as the best pricing source, rather than the CME's Globex version.”