Six firms, including Coinbase, seek leave to file amicus brief supporting CFTC regulation of single-stock perpetual futures

TechFlow news, November 10: According to The Block, Coinbase, Kalshi, Kraken's parent company Payward, DRW Holdings, Jump Trading, and Paradigm have applied to a federal court for permission to file an amicus brief supporting the authority of the U.S. Commodity Futures Trading Commission (CFTC) to regulate single-stock perpetual futures.

The brief responds to a lawsuit filed by the Capital Markets Coalition, which seeks to overturn the CFTC's approval of the relevant products and argues that single-stock perpetual contracts should be treated as security-based swaps rather than futures. The six firms said the U.S. Securities and Exchange Commission has been involved from the start of the regulatory process, and the two regulators previously jointly sought public comment on product classification.

Source: TechFlow