The Commodity Futures Trading Commission (CFTC) has approved the listing of the first-ever bitcoin perpetual futures contract on a regulated exchange, marking a historic shift in U.S. cryptocurrency regulation. According to reports from The Block, this approval represents the first time the world's most sophisticated financial system has opened the door for crypto asset perpetuals to operate within its regulated framework. CFTC Chairman Mike Selig emphasized that this action charts a path for one of the most liquid segments of the crypto asset markets to exist within the U.S. regulatory framework, calling it "a major step forward" in adopting policies to boost the U.S. crypto space. The CFTC didn't immediately identify the regulated exchange that received approval, but the announcement follows closely on the heels of President Trump's social media post this week that cited perpetuals and argued that the previous administration's regulators "nearly DESTROYED the American Crypto Industry by driving Bitcoin, Crypto Perpetuals, and INNOVATION offshore, but 'TRUMP' SAVED IT."
The CFTC has specifically approved Kalshi's bitcoin perpetual contract, known as BTCPERP, allowing the CFTC-registered exchange to list and trade the bitcoin-referenced perpetual contract. As reported by The Block, this approval represents the first regulated U.S. bitcoin perpetual futures contract and opens a new route for crypto derivatives activity inside the United States. CFTC Chairman Mike Selig confirmed in public remarks that the agency had delivered on a commitment to bring crypto asset perpetuals into the U.S. regulatory framework, creating a path for one of the most liquid areas of crypto trading to operate through regulated U.S. venues. Kalshi CEO Tarek Mansour said the approval marked a new phase for the company beyond event contracts, stating that regulated onshore perps could support capital allocation and risk management for U.S. users and businesses. The CFTC's approval gives Kalshi permission to offer what the agency described as a true bitcoin perpetual contract through a regulated exchange structure, with the contract must be listed and maintained in line with the Commodity Exchange Act and other applicable rules. According to the latest CFTC order, the contract references the spot price of Bitcoin through the CF Benchmarks Bitcoin Real Time Index and trades continuously, 24 hours a day, seven days a week.
Alongside Kalshi's approval, the CFTC issued a no-action letter to Coinbase on Friday covering certain perpetual futures products the exchange plans to offer through its Coinbase Financial Markets subsidiary. According to the regulator, those contracts will be routed through Coinbase Bermuda and treated as foreign futures products. The no-action relief allows Coinbase Financial Markets to accept digital assets, including Bitcoin, Ether, and stablecoins, as margin collateral for eligible customers. This development opens access to a multi-trillion dollar category previously closed to US traders, with institutional clients gaining regulated access to instruments that account for roughly 80% of global crypto trading volume. Coinbase CEO Brian Armstrong described the move as "a big day for our US-based traders, and for Coinbase" in a post on X, stating that until now, US users have been locked out of ~80% of global crypto markets (perpetual futures and options). Coinbase Chief Legal Officer Paul Grewal described the step as a major industry milestone in a post on X, with Armstrong noting that the move gives Coinbase a regulatory pathway to offer access to crypto perpetual futures and options markets that have largely developed outside the United States.
The approval of the first onshore Bitcoin perpetual contract appears to reduce regulatory uncertainty and could attract more institutional participants to U.S. crypto markets. According to market pricing data, Bitcoin reaching $160K by December 31, 2026 at 6.5% YES is currently being priced in prediction markets, with current YES pricing ranging from 3.6% to 14.5% depending on the target price by December 31, 2026. Recent activity suggests a slight increase in confidence, with YES pricing up across all sub-markets. Since the inception of perpetual contracts in 2016, regulatory uncertainties have pushed significant liquidity offshore, impacting market dynamics. This regulatory clarity could foster greater market stability and enhance U.S. market competitiveness in the crypto derivatives space. The move marks a pivotal shift, potentially increasing market participation and liquidity, which could drive Bitcoin prices upward. Unlike traditional futures contracts, perpetual futures do not expire, allowing traders to keep positions open indefinitely while speculating on the future price of an asset, making them particularly popular in global crypto markets.
According to The Block reports, the approval represents the natural extension of U.S. leadership in digital financial technology under President Trump's administration. While the CFTC acknowledges that Congress has an important role to play in delivering long-term statutory clarity for crypto asset markets, the commission views this as an important milestone in the ongoing evolution of American financial markets. "Having true perpetual contracts in the United States is a major step forward in delivering on President Trump's goal of cementing America as the crypto capital of the world," Selig wrote in an opinion piece published Friday at CoinDesk. The approval reinforces the U.S. position as the crypto capital of the world and opens the door for continued innovation in the digital asset sector. The CFTC's new direction follows broader coordination between the CFTC and the Securities and Exchange Commission on digital asset oversight, with earlier guidance from both agencies setting out categories for certain crypto assets and explaining how they could be supervised under existing frameworks. The White House Office of Information and Regulatory Affairs has also started a policy and economic review of a proposed CFTC framework for prediction markets, with that proposal expected to address event contracts tied to elections, sports, gaming, and other outcomes.
