CME Group · Donald Trump · CoinDesk
U.S. CFTC rebuffs CME legal stance in consequential fight over perpetual futures
Compiled by KHAO Editorial — aggregated from 1 source. See llms.txt for citation guidance.
★ Tier-1 Source
The U.S. Commodity Futures Trading Commission threw open the doors for perpetual futures in the U.S. in May, approving the first bitcoin perp from Kalshi and suggesting that it was open for business on ensuring a domestic surge in such contracts.
Key facts
- Spokespeople for CME didn't immediately respond to a request for comment on the CFTC's latest filing
- The CFTC first asked a federal judge to dismiss CME's case last month, and this latest filing details its argument against the company's legal standing
- CME must plausibly allege an actual or imminent increase in competition," the CFTC argued
- CME cannot have it one way with the court and another way with the investing public on earnings calls," the CFTC contended in its brief
Summary
The U.S. Commodity Futures Trading Commission is seeking to cast doubt on CME Group's legal challenge to its new perps policy. The CFTC filed a brief in court arguing that the derivatives giant hasn't shown it's being harmed by the government's new push into perpetual futures, and without harm, it doesn't have legal standing. "Allegations of increased competition, without any plausible inference of an imminent financial injury," don't give CME the legal standing to challenge the CFTC's actions, the agency said in a brief filed on Friday, noting that volume in crypto futures at the CME has risen since its policy shift.