Judge Valerie Caproni of the U.S. District Court for the Southern District of New York denied a temporary restraining order to suspend single-stock perpetual contracts, but her ruling said the plaintiffs’ claim that the CFTC exceeded its authority could succeed.
The applicants are the Capital Markets Alliance, whose members include Cboe and Castle Securities. They sought to suspend the approvals of Kalshi, Bitnomial, and Coinbase Derivatives. The court found that the plaintiffs had failed to show imminent, irreparable harm, but said the contracts did not appear to meet the definition of “security futures” and looked more like swaps regulated by the SEC.
The denial of the restraining order means only that the harm requirement was not met; the question of who has jurisdiction remains unresolved. The CFTC must respond to the motion for a preliminary injunction by November 6, and the plaintiffs must reply by November 10. That is the stage that will determine the contracts’ fate.
#个股永续合约 #CFTC regulation
The applicants are the Capital Markets Alliance, whose members include Cboe and Castle Securities. They sought to suspend the approvals of Kalshi, Bitnomial, and Coinbase Derivatives. The court found that the plaintiffs had failed to show imminent, irreparable harm, but said the contracts did not appear to meet the definition of “security futures” and looked more like swaps regulated by the SEC.
The denial of the restraining order means only that the harm requirement was not met; the question of who has jurisdiction remains unresolved. The CFTC must respond to the motion for a preliminary injunction by November 6, and the plaintiffs must reply by November 10. That is the stage that will determine the contracts’ fate.
#个股永续合约 #CFTC regulation