The CFTC approved Bitcoin perpetual futures for US markets, allowing Coinbase and Kalshi to offer the products.
Crypto Regulation News
The US Commodity Futures Trading Commission (CFTC) has authorized perpetual futures contracts for the first time, allowing Coinbase and Kalshi to offer the products to American traders. CFTC Chair Michael Selig described the move on May 29 as "historic action" that charts a path for one of the most liquid segments of global crypto markets to operate within a US regulatory framework.
Perpetual futures, or perps, are futures contracts with no expiration date. They allow traders to speculate on asset prices without holding the underlying asset. The products have been widely used in offshore crypto derivatives markets but were not previously available through CFTC-registered venues in the US.
The CFTC approved KalshiEX, LLC to list a Bitcoin (BTC)-linked perpetual contract called the BTCPERP Contract. It also issued a no-action stance for Coinbase Financial Markets, Inc., covering the company’s plans to offer digital commodity derivatives products.
Coinbase CEO Brian Armstrong said US users had previously been locked out of around 80% of global crypto markets, including perpetual futures and options. "Big day for our US-based traders, and for Coinbase," Armstrong said in an X post. Kalshi founder Luana Lopes Lara said she began working on the perpetual futures product in December 2024 and described May 29's launch as the conclusion of about a year and a half of development.
CFTC Issues Staff Advisory on 24/7 Trading
The CFTC's Division of Clearing and Risk, Division of Market Oversight, and Market Participation Division also issued a staff advisory on May 29. The advisory is not a formal rulemaking and does not carry the same permanence as a rule. In it, staff cited growing demand for 24/7 trading, driven in part by blockchain technology and decentralized infrastructure.
The Hyperliquid Policy Center called the CFTC's actions on May 29 a "long-overdue acknowledgment" that perpetual derivatives are a legitimate tool for price discovery and risk management. The group said regulatory uncertainty had previously pushed these markets offshore, reducing access for American traders and weakening US competitiveness in global derivatives markets. White House crypto adviser Patrick Witt said the decision marks a break from prior regulatory policy, adding that Americans now have access to a product that had moved offshore due to what he called an “anti-innovation posture” from the previous administration.
