CFTC Moves to Dismiss CME's Lawsuit Against Kalshi's Bitcoin Perpetual Futures
The Commodity Futures Trading Commission (CFTC) is seeking to dismiss CME Group's lawsuit against Kalshi's Bitcoin perpetual futures in a federal court. The CFTC argues that CME does not have standing because it failed to demonstrate any actual competitive injury caused by its approval of the contract.
CME had claimed that Kalshi's product may become a competitive threat to retail traders, but the CFTC highlights that CME admitted there was no demand from its clients for perpetual futures. The CFTC also pointed out that CME's cryptocurrency futures trading has grown after the approval of Kalshi's contract.
The case may impact how regulators in the United States regulate crypto perpetuals and could have a broader impact on the development of the futures market, customer protection, innovation, and supervision.