CME Sues CFTC Over Perpetual Futures, Alleging Swap Treatment

The CME Group has filed a lawsuit against the US Commodity Futures Trading Commission (CFTC) over cryptocurrency perpetual futures.

In a complaint filed in the US District Court for the District of Columbia, CME alleged that the CFTC is treating crypto 'futures' as 'swaps,' which poses risks to derivatives markets.

The lawsuit stems from a May 29 notice from the CFTC approving perpetual futures contracts tied to the spot price of Bitcoin (BTC) for prediction markets platform Kalshi and issuing a no-action position for similar products on cryptocurrency exchange Coinbase.

CME's filing argues that the CFTC's approval of such products goes against directives from US Congress by treating 'futures' as 'swaps' with expiration dates, violating the Commodity Exchange Act.