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The CFTC has cleared Kalshi and Coinbase to offer regulated perpetual futures, bringing a popular crypto derivative product into the US market framework.
The Commodity Futures Trading Commission (CFTC) has established a regulatory path for perpetual futures contracts in the United States, granting approval for Kalshi to list bitcoin-referenced perpetuals and issuing guidance for Coinbase to offer similar products [1, 2]. These derivatives, which allow investors to speculate on price movements without an expiration date, have historically been dominated by offshore exchanges [1, 2].
Key takeaways
Perpetual futures, or "perps," are futures contracts that do not expire, allowing traders to maintain positions indefinitely [1, 2]. While these instruments have become a core component of global crypto liquidity, U.S. investors have largely been excluded from these markets, pushing activity to offshore venues [1]. CFTC Chair Michael Selig described the agency's action as a milestone that allows one of the most liquid segments of the crypto market to operate under U.S. regulatory oversight [1].
For Kalshi, the approval of the BTCPERP contract marks a transition from its role as a prediction market platform to a broader derivatives exchange [1, 2]. Meanwhile, the no-action letter issued to Coinbase allows its subsidiary, Coinbase Financial Markets, to route perpetual futures through Coinbase Bermuda [2]. This arrangement permits clients to use digital assets, including bitcoin, ether, and stablecoins, as margin collateral for these products [2].
The CFTC’s decision acknowledges the operational challenges of integrating 24/7 crypto trading into traditional derivatives infrastructure, which was not originally designed for nonstop clearing and settlement [1]. The agency’s advisory highlights the need for robust systems to handle weekend volatility, overnight liquidation pressure, and potential price dislocations [1].
While the new framework aims to promote responsible innovation and fair competition, the legal footing remains based on staff-level guidance rather than a permanent rulebook [1]. CFTC Chair Selig noted that the agency’s approach is intended to limit excessive leverage and systemic risk, though the industry remains cautious of the dangers inherent in these products, such as the recent flash crash involving thin liquidity in other crypto perpetual markets [2].
The CFTC's move represents a significant shift in U.S. crypto policy, aiming to repatriate market activity that previously migrated offshore [1, 2]. By bringing perpetual futures into the domestic regulatory framework, the agency seeks to provide U.S. traders and institutions with access to essential price discovery and risk management tools [1, 2]. The long-term impact on market liquidity will depend on how U.S. venues manage margin rules, leverage limits, and fees compared to their global counterparts [1]. For now, the move establishes a new competitive front for regulated exchanges while leaving the door open for future, more durable regulatory frameworks [1].
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · May 31, 2026 · How we report
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