CFTC Issues No-Action Letter for DCMs Converting Existing Perpetual-Style Digital Commodity Futures into True Digital Commodity Perpetual Futures

The CFTC issued a no-action letter to designated contract markets (DCMs) allowing them to convert perpetual-style digital commodity futures into true perpetual futures. DCMs must meet specific customer protection conditions and file amendments under CFTC Regulations 40.5 or 40.6. The no-action relief is effective until June 30, 2026.

• •CFTC issued no-action letter for digital commodity futures conversion.
• •DCMs can remove expiration dates from existing contracts.
• •Customer protection measures must be satisfied.
• •No-action relief effective until June 30, 2026.
• •This regulatory shift may enhance market participation.

The no-action letter allows DCMs to offer true perpetual futures, which may attract more traders and enhance liquidity in the market.