- The U.S. Commodity Futures Trading Commission (CFTC) approved the nation’s first regulated Bitcoin perpetual futures contracts.
- Prediction market leader Kalshi and Coinbase Financial Markets received regulatory approvals to list these popular derivatives.
- This regulatory milestone opens the door for mainstream U.S. trading of perpetual contracts, which previously existed largely in overseas markets.
- Share prices for Coinbase (COIN) and Robinhood (HOOD) gained 4% and 11%, respectively, following the announcement.
U.S. crypto firms have entered a new era of domestic trading after the Commodity Futures Trading Commission approved the nation’s first regulated Bitcoin perpetual futures contracts on Friday. The decision permits prediction market Kalshi and Coinbase’s futures division to list these popular derivatives, which had largely operated overseas due to U.S. regulatory hurdles.
Perpetual contracts, or “perps,” are derivatives similar to standard futures but lack an expiration date. This allows investors to hold positions indefinitely, a feature CFTC Chairman Michael S. Selig noted is crucial for 24/7 markets to maintain continuous price exposure.
Kalshi CEO Tarek Mansour stated, “This marks Kalshi’s evolution from prediction market leader to next-gen derivatives exchange.” Consequently, the exchange must maintain continuous compliance with the Commodity Exchange Act under the CFTC’s terms.
Meanwhile, Coinbase co-founder Brian Armstrong praised the development as a milestone for safer, regulated pathways. Coinbase Chief Legal Officer Paul Grewal elaborated on this view in a post.
However, retail sentiment on the stocks was mixed, with bearish views on COIN and extremely bullish sentiment for HOOD. Both stocks have still lost about 19.3% of their value year-to-date.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
