CFTC Tells Court CME Has Not Shown Harm From Perpetual Futures Policy

America’s top derivatives regulator says CME Group has failed to prove it is losing out because of the new perpetual futures rules. In a filing made Friday, the CFTC argued that talk of tougher competition is not enough without a believable threat of financial damage. It also noted that CME’s own crypto futures volume has grown since the policy changed.

Why Perpetual Futures Matter in the U.S.

In May, the agency approved Kalshi’s bitcoin perp, the first of its kind, and said each product would be reviewed separately and treated as a future. Perps already drive much of the offshore crypto derivatives trade, and the move followed President Donald Trump’s pro crypto agenda. CME argues that contracts with no expiry date are really swaps, which fall under a different set of rules. The company did not respond right away to a request for comment.

CFTC Points to Mixed Messages

The regulator says CME has told investors on earnings calls that it sees no real demand for perps and does not view them as substitutes for its own futures. That, the CFTC argues, clashes with the company’s position in court.

Analyst Warns of Unwinding Risk

Jaret Seiberg of TD Cowen wrote that CME may still win on standing and on the swap argument. His worry is that perp trading keeps growing while the case drags on, which could make the market hard to unwind if CME prevails.