US Forex Brokers' Client Funds Rise to $527 Million; Kraken Introduces FX Perpetual Contracts

US Forex Brokers’ Client Funds Rise to $527 Million in February 2025

According to the latest data from the Commodity Futures Trading Commission (CFTC), U.S. retail forex brokers held approximately $527 million in client obligations as of February 2025. This marks a 2.9% month-over-month increase from January’s total of $512 million. However, when compared to February 2024, there is a 2.9% year-over-year decline.

The U.S. retail forex market remains highly concentrated, with the top three brokers controlling over 85% of client funds. This concentration reflects the significant regulatory barriers to entry in the U.S. market, including the $20 million minimum capital requirement for forex dealers. The six registered retail foreign exchange dealers (RFEDs) currently dominating the U.S. forex market are Gain Capital, Oanda, Charles Schwab, IG US, Interactive Brokers, and Trading.com.

Kraken Expands Forex Trading with Perpetual Contracts for Major Pairs

In a significant development for the forex trading community, cryptocurrency exchange Kraken has introduced FX perpetual futures for EUR/USD and GBP/USD. This move offers users 24/7 access to major currency pairs for the first time on the platform. Unlike traditional FX products that expire or follow limited trading windows, these newly launched FX perpetual contracts trade continuously without expiry.

Alexia Theodorou, Head of Derivatives at Kraken, stated, “By introducing FX Perps, we’re capitalizing on this market-leading position by providing clients with a powerful new tool to better navigate and tailor exposure to some of the most widely-traded currency markets in crypto today.” This initiative positions Kraken as a multi-asset venue for active traders looking to manage both crypto and fiat positions from a single platform.

Conclusion

The forex market is witnessing notable developments, from the increase in client funds held by U.S. brokers to the expansion of trading options by platforms like Kraken. These changes reflect the evolving landscape of forex trading, influenced by regulatory frameworks and technological advancements. Traders and investors should stay informed about such developments to navigate the market effectively.