U.S. regulators have issued a joint statement on the planned transition to 24-hour trading in traditional financial markets. On September 5, the Securities and Exchange Commission (#SEC ) and the Commodity Futures Trading Commission (#CFTC ) presented a document discussing the move to a 24/7 mode and new rules for cryptocurrency derivatives.

New opportunities and risks of 24/7 markets

Scaling modern finance requires a 24/7 trading environment for all asset classes, regulators noted in a statement. Unlike cryptocurrency markets, which already operate non-stop seven days a week, traditional American exchanges—such as the New York Stock Exchange and the Chicago Mercantile Exchange—only trade on business days with limited hours.

Establishing regulatory clarity for event contracts and perpetual futures—futures contracts without expiration dates—has also become a priority.

However, the agencies clarified: 'Further expansion of trading hours could better align American markets with the evolving reality of a global economy that operates around the clock. Expanding trading hours may be more feasible for some asset classes than others, so a one-size-fits-all approach may not exist for all products.'

The potential shift to 'always-on' financial markets would increase the velocity of capital movement but would also heighten risks for traders. Their overnight and long-term positions would be influenced by market participants from different time zones who could disrupt their trades while they sleep.

Interagency cooperation

In July, the administration of President Trump released its cryptocurrency report outlining interagency policy recommendations for developing a comprehensive framework for the digital economy.

The report directed the SEC and CFTC to establish joint oversight over the cryptocurrency sector. The CFTC received 'clear authority' to regulate spot cryptocurrency markets, while the SEC will oversee tokenized securities.

The regulators' initiative reflects a desire to adapt traditional financial structures to the realities of the digital economy. The shift to 24/7 trading could change the dynamics of global financial markets, creating new opportunities for participants from different time zones.

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