Coinbase and Kalshi Back CFTC in Stock Perps Lawsuit
Summary
Coinbase, Kalshi, Payward, DRW Holdings, Jump Trading and Paradigm asked a federal court to accept an amicus brief backing the CFTC’s authority over perpetual futures tied to individual U.S. stocks. They argue the contracts qualify as security futures under existing law and can remain under joint CFTC-SEC oversight, despite a challenge by the Capital Markets Alliance Association, which says they are swaps subject to stricter SEC rules. A judge found the challenge likely to succeed but denied an emergency order to halt trading. Stock perps continue trading as the case proceeds; the court’s decision could shape their availability and the regulation of crypto-inspired products linked to traditional assets.
