The Perpetual Future of Cryptocurrency Derivatives

The CFTC crypto framework has recently been significantly updated. The pilot to these regulatory changes started in December 2025. In March 2026, the CFTC proceeded to publish an FAQ to further clarify how firms can use crypto assets and blockchain-cased systems under the current rules. In that same month, the CFTC and SEC announced they entered a Memorandum of Understanding (“MOU”) to “guide coordination and collaboration between the two agencies to support lawful innovation, uphold market integrity, and ensure investor and customer protection.”

Among all these crypto regulatory changes, is an update in perpetual contracts. On May 29, 2026, The Commission Staff of the CFTC confirmed the “categorization of certain crypto asset perpetuals as foreign futures” practically overnight. Kalshi had applied to list bitcoin perpetual contracts as a “futures product.” A day later, the CFTC approved. In response, the CME Group Inc. filed a suit against Michael S. Selig, Chairman of the CFTC, because they are challenging that a perpetual contract is a swap, not a future.

The changes are quick, confusing, and immense. The SEC and CFTC seem to acknowledge that in a press release on June 18, 2026, as they request public input on potential opportunities to “harmonize, modernize, and streamline data reporting requirements in their regulation of the security-based swap and swap markets, respectively.”

The CFTC held its inaugural meeting on August 20, 2026, and discussed crypto assets, AI in derivative markets, and the intersection of crypto and AI.