Perpetual contracts on traditional exchange-traded funds (TradFi-Perps) are rapidly reshaping the crypto industry landscape. This innovative tool allows investors to gain exposure to a basket of stocks without purchasing the underlying fund itself and, most importantly, without being tied to the rigid operating hours of traditional stock exchanges. Access to the market is available 24/7.
Over the first seven months of 2026, this sector demonstrated explosive growth, with Binance emerging as the undisputed leader, controlling nearly three-quarters of the market.
Explosive Growth and Binance’s Dominance
According to a recent report by Binance Research, while the weekly trading volume in this segment was close to zero at the beginning of 2026, it reached $30 billion by July. Monthly volume firmly established itself at $100 billion, corresponding to an impressive annualized rate of around $700 billion. The sector’s average monthly growth rate reached 170%.
Over the first seven months of 2026, cumulative historical trading volume in the TradFi-Perps segment surpassed $1.6 trillion. Exchange-traded funds (ETFs) accounted for 7.25% of this total—amounting to $116 billion.
«Binance’s share in TradFi ETF-Perp trading surged from 18% at launch to its current 74%, securing the exchange a dominant position in this rapidly growing sector,» the Binance Research report states.
Binance began listing ETF perpetuals only in March 2026, but by June it had captured 80% ($53.8 billion) of the total trading volume in TradFi equity perpetual futures. Within the platform’s own TradFi contract lineup, ETFs account for nearly a third (30%) of all trades.
A Shift in Favorites: Semiconductors and Asia Overtake the S&P 500
Interestingly, traditional stock market leaders like the S&P 500 have ceded top spots to more niche assets. The clear leader in volume was SOXL, a fund with 3x daily leverage tracking the semiconductor index. It was followed by South Korea-focused funds (KORU and EWY), with familiar tickers like QQQ and SPY trailing behind.
Analysts highlight two primary reasons for this skew:
- Demand for Leverage: SOXL and KORU offer 3x daily exposure. Furthermore, Binance users historically favor the tech sector—holding approximately 73% of their stock portfolios in technology, where trading volumes are 23 times higher than in other categories.
- Overcoming Time Zones and Brokerage Limits: KORU and EWY track South Korean equities but trade during U.S. market hours, which barely overlap with the Asian trading session. Accessing KOSPI 200 futures on the Korea Exchange requires a local broker. Perpetual contracts on Binance solve this problem by offering round-the-clock and seamless price discovery.
A striking example: in July, the trading volume of the KORU perpetual contract reached 148% of the volume traded in the underlying fund on traditional markets—$16.16 billion on Binance versus $10.89 billion on classic exchanges. The report notes that primary price discovery for leveraged exposure to the Korean market is shifting from traditional venues to Binance.
Tremendous Potential: A Drop in the Traditional Finance Ocean
Despite impressive growth rates, the TradFi-Perps segment is still in its infancy. In the first half of 2026, traditional ETF trading exceeded $40 trillion in notion volume (a 50% year-over-year increase), reaching a record $7.8 trillion in March alone.
Against these massive figures, the current monthly volume of crypto ETF perpetuals ($100 billion) represents less than 1% of the traditional market’s March benchmark. The growth potential math is straightforward:
- If perpetual contracts capture just 10% of the traditional ETF market volume, monthly trading would surge to $780 billion.
- At a 20% share, sector volume would exceed $1.56 trillion per month.
The blurring of boundaries between traditional finance and the crypto market continues. By providing 24/7 access, deep liquidity, and leveraged trading instruments, Binance is not just capturing market share—it is setting a new standard for trading TradFi assets globally.
