CFTC Faces Lawsuit Over Stock Perpetual Futures
Edited by Steinar Vigdel Kolnes, Editor, Oslo
A Citadel Securities-backed group is challenging the CFTC over its approach to stock-linked perpetual contracts.
The U.S. Commodity Futures Trading Commission is facing a legal challenge over its decision to allow a path for perpetual contracts tied to stocks.
According to CoinDesk, a group supported by Citadel Securities and other firms sued the derivatives regulator, arguing that such products fall under the Securities and Exchange Commission's jurisdiction.
The dispute follows regulatory moves that had already created a route for cryptocurrency perpetual contracts, bringing questions over the treatment of similar equity-linked products into focus.
The case could test the boundary between U.S. securities and derivatives oversight as regulators address newer forms of perpetual trading products.
Source: CoinDesk
