- The CFTC issued guidance for perpetual contracts while approving a Bitcoin-linked perpetual futures product for Kalshi.
- Regulators said future perpetual contracts tied to other assets will face case-by-case reviews under existing rules.
- Chairman Mike Selig called the move a historic step toward bringing crypto perpetual trading under U.S. oversight.
The U.S. Commodity Futures Trading Commission has taken a major step toward bringing crypto perpetual futures into regulated markets. On Friday, the agency issued a policy statement on perpetual contracts and simultaneously approved the listing of a bitcoin-linked perpetual contract by a designated contract market. The action involved the CFTC, Chairman Mike Selig, Kalshi, Coinbase, and bitcoin-based derivatives, while establishing a regulatory pathway for perpetual products within the United States.
CFTC Issues New Perpetual Contract Guidance
The CFTC said its policy statement outlines the agency’s views on listing perpetual contracts. Notably, the guidance arrived alongside an order permitting a perpetual contract tied to bitcoin’s spot price.
According to the agency, perpetual contracts contain unique characteristics that vary depending on the referenced asset. Therefore, the CFTC said future perpetual products tied to other asset classes should undergo case-by-case reviews under Commission Regulation 40.3.
The agency also confirmed that the policy statement will appear in the Federal Register. As regulators released the guidance, attention quickly shifted to the approved bitcoin product.
Kalshi Receives Approval for Bitcoin Product
The CFTC approved a Bitcoin perpetual futures contract requested by Kalshi. According to the order, the approval relied on information and analysis submitted by the company.
The agency reviewed the contract’s structure, the underlying bitcoin market, and compliance with Commodity Exchange Act requirements. Additionally, the review considered rules governing designated contract markets.
Kalshi announced plans to launch the product, moving closer toward operating as a derivatives marketplace. At the same time, the approval highlighted a broader shift in how regulators approach crypto derivatives.
Chairman Selig Highlights Regulatory Shift
Chairman Mike Selig described the decision as a historic action for U.S. crypto markets. He said the move fulfilled a commitment to bring crypto asset perpetuals onshore under domestic oversight.
Separately, the CFTC noted that crypto derivatives may be well-suited for continuous trading, clearing, and settlement because of their digital infrastructure. However, the agency said traditional markets, including agricultural products, face different operational considerations.
Coinbase Chief Legal Officer Paul Grewal called the decision a major industry milestone. Meanwhile, the CFTC’s latest actions place bitcoin perpetual futures within an established U.S. regulatory framework.
