The CME Group has said that it will sue the Commodity Futures Trading Commission (CFTC) over its decision to approve perpetual futures in the U.S.<\/p>\n
CEO Terrence Duffy told CNBC on Wednesday that the firm plans to file the lawsuit on Thursday, saying its case will be based on the argument that perpetual futures are swaps under the Dodd-Frank Act.<\/p>\n
Duffy said<\/a> CME believes the products should be treated as swaps instead of futures contracts, adding that the company\u2019s benchmark licensing agreements mean providers offering them would need to work through the exchange.<\/p>\n \u201cWe have an exclusive license with every single provider of the benchmarks. So all of these would have to go through CME regardless of the perpetual,\u201d said Duffy.<\/p>\n Perpetual futures are contracts that do not have an expiration date and allow traders to speculate on an asset\u2019s price without directly owning it.<\/p>\n The development follows the CFTC\u2019s May approval<\/a> of Kalshi to offer BTC perpetual futures, making it the first time the product was greenlighted for the U.S. market. Meanwhile, the offering has already been widely used in international markets, with the prediction market platform already making plans to expand its range to include other cryptocurrencies.<\/p>\n Last year, Coinbase also became the first exchange to offer<\/a> these derivatives to American investors through its Coinbase Financial Markets (CFM) platform.<\/p>\n The CEO said the company has been preparing for the legal battle with its board for the past eight months and is prepared to proceed with the challenge.<\/p>\n \u201cI\u2019ve never shied away from one, and I won\u2019t shy away from this\u2026And that\u2019s why I wanted to announce on your show that we will be filing this litigation tomorrow, because we are not taking this lightly,\u201d he said.<\/p>\n Elsewhere, CFTC Chair Michael Selig has defended<\/a> the agency\u2019s decision to approve perpetual futures in the U.S., saying the move was aimed at allowing regulated products without expiration dates to become available domestically while ensuring they operate under American oversight.<\/p>\n The post CME Group to Sue CFTC Over Approval of Bitcoin Perpetual Futures<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" The CME Group has said that it will sue the Commodity Futures Trading Commission (CFTC) over its decision to approve perpetual futures in the U.S. CEO Terrence Duffy told CNBC on Wednesday that the firm plans to file the lawsuit on Thursday, saying its case will be based on the argument that perpetual futures are […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-182797","post","type-post","status-publish","format-standard","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/182797"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=182797"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/182797\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=182797"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=182797"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=182797"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Duffy Says CME is Ready for the Dispute<\/h2>\n