Ex-FTX US chief bets on ‘perps’ for traditional markets

Brett Harrison, the former President of FTX US, is launching Architect Financial Technologies, a new venture that has received approval in Bermuda to offer perpetual futures contracts tied to traditional assets like stocks, indexes, commodities, currencies, and interest rates. Perpetual futures, or "perps," are high-leverage derivatives popularized by crypto exchanges like FTX, allowing traders to hold leveraged positions without an expiry date, balanced by a funding rate mechanism. While perps fueled massive growth in crypto trading volume, they are considered high-risk derivatives that have drawn scrutiny from regulators and analysts regarding margin overuse and potential for devastating liquidations. Harrison's previous entity, FTX US, was regulated and did not offer the high-leverage crypto perps that FTX Global did before both collapsed in November 2022.

(Source：Cointelegraph)