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CME chief executive confirms company aims to sue CFTC after perpetual futures approval

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CME Chief Executive Terrence Duffy said the derivatives provider planned to sue the U.S. Commodity Futures Trading Commission (CFTC) after it approved perpetual futures products earlier this month.

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CME Chief Executive Terrence Duffy said the derivatives provider planned to sue the U.S. Commodity Futures Trading Commission (CFTC) after it approved perpetual futures products earlier this month. The CFTC's approval of Kalshi's perpetual futures product did not meet the requirements of the Dodd-Frank Act governing swaps, he told CNBC on Wednesday. "Under the Dodd-Frank Act, it clearly defines what a swap is and what a future is, and when there's two parties exchanging payments to each other, that's deemed a swap," he said. Duffy, who is stepping down from his role next year, said CME would "need to understand what the rules of the road are first" before it would consider listing perpetual futures contracts of its own, but that those rules are not "clear" at present. Duffy went further when asked if he thought the CFTC was "misrepresenting certain facts," saying that he did believe "to an extent" that the agency was.

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