CMC urges CFTC a pause in approving Kalshi perpetual oil futures
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AT A GLANCE
CMC urges CFTC to block Kalshi's proposed perpetual crude oil futures contracts with no expiration date.
Article
Bloomberg:CMC urges CFTC a pause in approving Kalshi's proposed perpetual oil futures contracts
PANews October 23 reported, according to Bloomberg, that the Commodity Markets Council, representing derivatives exchanges and dealers including CME Group (CME Group Inc.),CMC told the U.S. Commodity Futures Trading Commission (CFTC) that perpetual futures pose significant risks to market integrity, urging CFTC to block Kalshi's proposed perpetual crude oil futures contracts. Earlier this month, Kalshi launched crude oil futures contracts traded 5 days per week, with a term of 10 years, and applied on Tuesday to launch perpetual contracts with no expiration date.
Earlier this month, Kalshi launched crude oil futures contracts traded 5 days per week, with a term of 10 years,WTI crude oil futures contracts.
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Kalshi applied on Tuesday to launch perpetual contracts with no expiration date.
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CMC representing CME Group Inc. and other derivatives exchanges and dealers.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
Kalshi applied to launch perpetual crude oil contracts with no fixed expiration date.CMC believes such products could affect market integrity and therefore asked regulators to CFTC block the plan. The original report only states the application and objections; it does not state that CFTC has already made a decision.
Why it matters to readers
Whether regulators allow the contracts to launch will directly affect Kalshi's product plans;CMC the market-integrity risks raised may also become a focus of review.
Beginners should distinguish between “applied for” and “approved”: the original report currently only shows that Kalshi submitted an application, while CMC requested it be blocked; this does not mean the product has been approved or rejected.
Risks and unknowns
CFTC The original report does not state whether the application will be accepted, approved, rejected, or required to be modified.
How Kalshi responded to CMC the market-integrity risks raised is not stated in the original report.
CMC The original report does not provide the specific mechanisms or evidence for the claimed significant risks.
The news was relayed by PANews from a Bloomberg report; the original report did not include CMC or CFTC documents.
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Perpetual futures
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