Cboe and multiple institutions sue CFTC, seeking to revoke a
On November 3, because the 45-day review period had expired, the CFTC deemed approved the single-stock perpetual derivatives of Coinbase, Kalshi, and Bitnomial, and announced that they could go live the same day; on the same day, the Capital Markets Alliance (CMA), composed of Cboe, Citadel Securities, and others, filed suit in the U.S. District Court for the Southern District of New York, seeking to vacate the approvals and applying for a temporary restraining order, with the dispute centering on whether the product should be classified as a security-based swap or a security future.
Event Timeline
- [11-03 19:26] Cboe and other institutions sued the CFTC, seeking to vacate the approval of Coinbase, Kalshi, and Bitnomial stock perpetual futures (Wu Shuo)
- [11-03 19:52] Cboe and Citadel Securities and others sued the CFTC, seeking to vacate the approval of single-stock perpetual contracts (PANews)
Background and Impact
On November 3, 2026, U.S. Commodity Futures Trading Commission (CFTC) Chairman Michael Selig confirmed that the single-stock perpetual derivatives of Coinbase Derivatives, KalshiEX, and Bitnomial Exchange were deemed approved under the rules because the 45-day review period had expired; the CFTC announced the same day that single-stock perpetual contracts could go live on registered exchanges as of that day. On the same day, the Capital Markets Alliance (CMA), whose participants include the Chicago Board Options Exchange (Cboe) and Citadel Securities, filed a lawsuit in the U.S. District Court for the Southern District of New York, seeking to vacate the three regulatory approvals and applying for a temporary restraining order and an injunction to block the listing of the products. Source 1 reported the news at 19:26 on November 3, and Source 2 reported on November 4 citing Cboe's official announcement.
The CMA's core argument is the classification of the product. The alliance holds that such contracts have no fixed maturity date or future delivery obligation and should be classified as security-based swaps regulated by the U.S. Securities and Exchange Commission (SEC), rather than security futures, and it alleges that the CFTC's approval process violated the Administrative Procedure Act. The CFTC's position is the opposite: Selig emphasized that the products are security futures regulated by both the CFTC and the SEC. Cboe CEO Craig Donohue said that single-stock perpetual derivatives should trade on platforms regulated under U.S. securities law.
The two sources differ slightly in their description of the membership: Source 1 says the CMA has participants including Cboe and Citadel Securities, while Source 2, citing Cboe's announcement, explicitly lists members as including Cboe, Citadel Securities, and the Healthy Markets Association. Both describe the court, the content of the claims, and the timeline consistently, both pointing to a lawsuit filed on November 3. In terms of impact, the regulatory approvals taking effect and the judicial challenge existing simultaneously mean that whether the products can remain listed depends on how the court handles the applications for a temporary restraining order and an injunction; the case also touches on the boundary of jurisdiction between the CFTC and the SEC in the derivatives field.
Attention beyond the event has also spilled over to the trading access stage, with some users searching for operational information such as Huobi HTX registration APP download, Zhima Gate.io registration APP download, Bitget registration APP download, Binance registration APP download, and OKX registration APP download. It should be noted that none of the above platforms appear in the list of challenged approvals set out in the case materials, and this report does not evaluate any platform or product. The key upcoming milestones are whether the U.S. District Court for the Southern District of New York grants a temporary restraining order, and the further arguments of both the CFTC and the CMA in the litigation.
Frequently Asked Questions
### Will this lawsuit immediately stop the single-stock perpetual contracts of Coinbase, Kalshi, and Bitnomial from going live?
Not necessarily. The CMA has applied for a temporary restraining order and an injunction, but the materials do not disclose whether the court has granted them. Before a ruling is made, the same-day go-live status announced by the CFTC on November 3 and the litigation challenge exist simultaneously.
### What exactly are the two sides fighting over?
The core is the classification of the product: the CMA holds that contracts with no fixed maturity date and no future delivery obligation are security-based swaps regulated by the SEC; CFTC Chairman Selig says they are security futures regulated by both the CFTC and the SEC. The CMA also alleges that the approval process violated the Administrative Procedure Act.
### What milestones should be watched going forward?
First, how the U.S. District Court for the Southern District of New York handles the applications for a temporary restraining order and an injunction; second, the court's determination on the classification of the product; third, the subsequent arguments of the CFTC and the CMA in the litigation. The materials do not give a timetable for a ruling.