CFTC backs crypto perpetual contracts, issues advisory on 24/7 trading
The CFTC approved Kalshi's bitcoin perpetual futures and said crypto derivatives may suit nonstop trading better than some traditional markets.
Intelligence analysis by GPT-5.4 Mini
The CFTC signaled a friendlier stance toward crypto derivatives by approving Kalshi's bitcoin perpetual futures and giving Coinbase a no-action position. It also said crypto-linked derivatives may fit 24/7 trading better than markets like agriculture.
A US market watchdog said some crypto bets can be traded all day and all night, because crypto never really sleeps. It also gave one company the green light to offer a bitcoin futures product that tracks price moves.
Think of it like a game that stays open 24/7 instead of closing at bedtime. Crypto markets work more like that than a farm goods market, which depends on local places and fixed hours.
The big idea is that the rules for old-time markets do not always fit digital money. That could make it easier for more crypto trading tools to show up in the US.
Analysis
Regulatory signal
The CFTC took two notable steps that point toward a more permissive view of crypto derivatives. First, it approved perpetual futures tied to bitcoin's spot price for prediction markets platform Kalshi. Around the same time, Coinbase received a no-action position, which the article describes as another sign the agency is becoming more open to crypto-related derivatives activity.
Why perpetuals matter
Perpetual futures let traders speculate on crypto price moves without owning the underlying asset. That makes them a core product in crypto markets, where they are widely used for leverage and hedging. Cointelegraph says Kalshi plans to launch the product as part of a move closer to becoming a derivatives exchange.
24/7 trading argument
The CFTC also drew a line between crypto markets and older asset classes. In its notice, the agency said derivatives tied to crypto assets may be well-suited for nonstop trading because of their digital setup and global reach. By contrast, it suggested some markets, such as agriculture, may not fit that model because of their regional customer bases and other factors.
The article also notes political context: Donald Trump posted in support of Michael Selig and the CFTC's jurisdiction fight over prediction markets, while the commission still appears short of its full five-member roster. That adds to the sense that the agency's stance on crypto markets may still be evolving.
Key points
- The CFTC approved bitcoin perpetual futures for Kalshi.
- The agency also gave Coinbase a no-action position related to crypto derivatives.
- The CFTC said crypto-linked derivatives may be well-suited to 24/7 trading.
- It contrasted crypto's global, digital setup with more regional markets like agriculture.
- The article frames the move as a friendlier stance toward crypto derivatives.
