CME Group to Sue CFTC Over Cryptocurrency Perpetual Futures Approval

CME Group, the parent company of the Chicago Mercantile Exchange, plans to sue the U.S. Commodity Futures Trading Commission (CFTC) over its approval of cryptocurrency perpetual futures.

The approval was given to Kalshi, a cryptocurrency derivatives exchange, in late May for Bitcoin perpetual contracts, marking the first time such instruments have been authorized in the United States.

CME Group's outgoing CEO, Terrence Duffy, stated that his company will file the lawsuit on Thursday, citing that perpetual contracts are effectively swaps under the Dodd-Frank Act.

Duffy added that CME Group holds exclusive licenses with all benchmark providers and that all perpetual contracts must go through CME regardless.