Hyperliquid Policy Center Calls for EU Clarity on Onchain Perpetual Futures
The Hyperliquid Policy Center (HPC) has called on the European Commission to clarify how existing financial rules should apply to perpetual futures traded on public blockchains, arguing that their regulatory treatment should depend on the characteristics of the products rather than the technology used to operate them.
In a submission to the Commission’s consultation on the Markets in Crypto-Assets Regulation, According to its statement on X, HPC recommended treating perpetual futures as financial instruments under MiFID II instead of regulating them through MiCA.
The organization said its proposal is intended to address investor access, market transparency and regulatory responsibilities as onchain financial markets develop. The submission is HPC’s first regulatory filing outside the United States.
The European Commission’s consultation is examining whether the existing MiCA framework remains appropriate as digital-asset markets introduce new products and ways for investors to access financial markets. HPC argues that regulators can address these developments through clarification of existing rules rather than requiring a new legislative framework specifically for onchain markets.
HPC Proposes Product-Based Classification for Perpetual Futures
At the center of the submission is a recommendation that regulators classify individual instruments according to their economic characteristics, rather than basing the classification on where or how they are traded.
Perpetual futures are derivatives that provide exposure to an underlying asset without a fixed expiration date. Traders can maintain positions without having to replace contracts as they reach maturity.
The policy center also highlights onchain funding mechanisms and publicly accessible records covering trades, funding payments and liquidations as features that should be considered when determining appropriate regulatory requirements.
Under its proposed framework, HPC supports product-specific protections that would include disclosure of funding arrangements, margin requirements and position close-out procedures. It also recommends using reference prices from multiple sources and introducing phased market access based on client categories.
HPC Wants EU Regulators to Recognize Public Blockchain Records
HPC’s recommendations extend beyond the classification of perpetual futures to transparency and recordkeeping.
The organization argues that public blockchains can provide regulators with direct access to transaction and market information. If authorities can inspect those records themselves, HPC says, some requirements involving duplicate reporting could potentially be reduced.
The submission also calls for continued access for European investors to global liquidity, which HPC links to execution efficiency and broader price formation.
Another recommendation seeks clarification that regulated financial firms can use public blockchains without that technological choice automatically altering the classification of a financial product or the regulatory status of the underlying network.
HPC said it has provided operational data, international comparisons and practical examples to support its recommendations. The organization is asking European authorities to address the issues through existing European Securities and Markets Authority guidance, rather than through another legislative package.
Writer: Marcus RenfieldCrypto Market Analyst & Onchain WriterMarcus Renfield covers cryptocurrency markets with a focus on onchain data, Bitcoin price action, and emerging market narratives. His writing examines how capital flows, network activity, and broader market structure influence short- and medium-term trends.He aims to provide clear, data-informed analysis for readers seeking a deeper understanding of crypto market dynamics.