CFTC Clears Kalshi to List U.S. Bitcoin Perpetual Futures

The Commodity Futures Trading Commission issued an order Friday authorizing Kalshi to list perpetual futures tied to Bitcoin on its U.S.-based prediction market. The order permits onshore trading of contracts that have no set expiration date and requires Kalshi to comply with rules under the Commodity Exchange Act.

Perpetual futures, commonly called perps, are derivative contracts that do not expire and use periodic funding payments between long and short positions to keep the contract price close to the underlying asset. Kalshi’s product will track Bitcoin’s price and settle in the United States.

Kalshi said the offering will provide a regulated venue for American customers and cited a $90 trillion trading volume figure for the asset class last year. The company’s blog described the listing as the “first-ever perpetual futures in America” and called the launch its largest product expansion since introducing event contracts. A company spokesperson said Kalshi is aiming to begin trading the contracts within the next month.

The CFTC’s order follows an earlier approval in December that allowed another firm to offer perpetual futures. The commission noted that perpetual contract designs may not be suitable for every asset class and required ongoing compliance with federal commodity rules.

Kalshi’s entry adds competition to platforms planning similar products. One prediction-market rival has announced plans to offer perpetual futures tied to equities and commodities, and U.S.-based exchanges have introduced futures designed to mimic perps with limited shelf lives, typically up to five years.

The market for perpetual futures is currently dominated by offshore venues, where a decentralized exchange is the largest player. That platform has faced scrutiny from some industry participants who have raised concerns about its overseas location and potential effects on market integrity.

In a separate regulatory development, the CFTC and crypto exchange Gemini filed a joint motion seeking to reverse a January 2025 consent order in a case that began in 2022, reflecting ongoing legal adjustments in the crypto derivatives space.

Kalshi CEO Tark Mansour described the new product as part of the company’s evolution into a derivatives exchange and said, “Onshore, regulated perpetual futures will improve capital allocation and risk management for countless American businesses.”