CME-Backed Trade Group Urges CFTC to Reject Kalshi's WTI Perpetual
The Commodity Markets Council, a trade group whose members include CME, NYMEX and ICE Futures US, asked the CFTC on Thursday to withhold approval of WTIPERP, the no-expiry WTI crude perpetual that Kalshi filed for on Tuesday. The pushback came as Phantom began rolling out Kalshi's prediction markets to its US users, and as Kalshi's October volume reached $55.33B.
What happened
- The Commodity Markets Council, whose members include CME, NYMEX and ICE Futures US, urged the CFTC on Thursday to withhold approval of WTIPERP, the no-expiry WTI crude perpetual Kalshi filed for on Tuesday.
- The council's letter did not name Kalshi, according to Bloomberg, and it also asked the CFTC to work with foreign regulators to curb US traders' VPN access to offshore platforms.
- Kalshi's October volume reached $55.33B.
- Phantom began rolling out Kalshi's prediction markets to its US users; Phantom users fund trades with its CASH stablecoin, complete KYC on Kalshi and pay $0.02 per contract, with some market categories blocked in Michigan, Nevada and Washington.
- Defense Secretary Pete Hegseth's October 20 memo bars Pentagon personnel from betting with nonpublic information on prediction markets including Polymarket and Kalshi, writing that "Our enemies watch movements in these markets."
- Polymarket has reportedly fired CMO Matthew Modabber after an internal misconduct probe, according to the New York Post via CoinDesk, with no word on why.
Why it matters
The council's request could delay or block Kalshi's first oil perpetual, while Phantom's rollout widens US access to Kalshi's markets.
What is unknown
The CFTC's response to the council's letter is not reported. The reasons behind Polymarket's reported dismissal of its CMO are unconfirmed, and the firing is reported secondhand via the New York Post and CoinDesk.
Timeline
- Version 1