The US Commodity Futures Trading Commission (CFTC) has taken a major step toward expanding crypto derivatives in the United States, approving a Bitcoin perpetual futures product for Kalshi and issuing guidance that recognizes the unique advantages of round-the-clock crypto markets.
In a notice released Friday, the regulator approved Kalshi’s Bitcoin perpetual futures contract, which tracks the spot price of Bitcoin and allows traders to speculate on price movements without owning the underlying asset. The approval moves Kalshi closer to operating as a full-fledged crypto derivatives venue.
The CFTC said its decision was based on Kalshi’s submissions showing that the contract complies with the Commodity Exchange Act and the agency’s regulatory requirements.
At the same time, the agency issued a no-action position related to Coinbase’s crypto perpetual futures offering, signaling a more open stance toward digital asset derivatives products.
Coinbase Chief Legal Officer Paul Grewal described the move as a major milestone for the industry, calling it a ”massive first” for US crypto markets.
Crypto Markets Better Suited for 24/7 Trading
In a separate advisory, the CFTC noted that cryptocurrency markets may be particularly well-suited for continuous trading, clearing and settlement due to their digital infrastructure and global nature.
The regulator contrasted crypto markets with traditional sectors such as agriculture, where trading activity is often tied to regional participants, business hours and physical supply chains.
The guidance comes as major exchanges continue exploring around-the-clock trading. Earlier this week, CME Group announced plans to offer 24/7 crypto futures trading, subject to regulatory approval.
Growing Focus on Prediction Markets
The developments also come as the CFTC remains at the center of an ongoing debate over prediction markets.
Earlier this week, President Donald Trump publicly backed CFTC authority over prediction markets and voiced support for acting Chair Michael Selig, who has argued that the agency has exclusive jurisdiction over the sector under federal commodities law.
Several states have challenged prediction market platforms through lawsuits and regulatory actions, setting up a broader battle over oversight of the fast-growing industry.
The CFTC is currently operating with only one commissioner. Selig serves as both acting chair and the agency’s sole commissioner, while the remaining four seats remain vacant pending nominations from the White House.
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