The Commodity Futures Trading Commission said perpetual futures tied to individual stocks were deemed approved and can be offered for the first time on US exchanges registered with both the CFTC and the Securities and Exchange Commission to trade security futures. Chairman Michael Selig did not identify which exchanges would offer them or say when trading would begin.
Perpetual futures let traders take positions on an asset’s price without owning it or facing an expiration date. The CFTC’s approach faces a legal challenge from CME Group’s Chicago Mercantile Exchange, which argues that the agency exceeded its authority by treating cryptocurrency perpetual futures as futures rather than swaps.
