Perpetual Futures Systemic Risk Lies in Venue Design, Not Contract Type

Chris Tyrer, President of Bullish Exchange, argues that perpetual futures contracts are not inherently dangerous as they enter regulated markets. Critics have raised concerns that perpetuals import systemic risk into traditional finance, but Tyrer disputes this framing. He contends that the real risk originates from how trading venues are structured, including leverage limits, margin rules, index construction, and default handling mechanisms. According to Tyrer, focusing regulatory scrutiny on the contract itself misidentifies the source of potential instability.