CME Sues CFTC Over Bitcoin Perpetual Futures Approval on June 18

According to Reuters, on June 18, CME Group filed a lawsuit against the U.S. Commodity Futures Trading Commission (CFTC) and Chair Michael Selig, challenging the agency's approval of Bitcoin perpetual futures from Kalshi and Coinbase. CME argued that these products should be classified as swap contracts under the Dodd-Frank Act, as the CFTC itself previously interpreted them, and approving them as futures contracts represents arbitrary and capricious conduct.

CME cited competitive concerns in the lawsuit, arguing the approval decision could harm market competition. Reuters reported that CME and ICE—the parent company of the New York Stock Exchange—saw stock declines following the approval, reflecting investor concerns about competitive threats. A CFTC spokesperson responded that CME chose legal challenges over market competition, stating, 'Incumbents fear the future and do not want fair competition.'