Kalshi Seeks CFTC Approval for Never-Expanding Oil Futures Contract

Kalshi Targets First US Regulated Oil Perpetual Contract

Prediction market operator Kalshi is reportedly seeking regulatory approval from the Commodity Futures Trading Commission (CFTC) for a West Texas Intermediate (WTI) crude oil perpetual futures contract that would never expire. The contract is planned to trade 24 hours a day, five days a week.

According to sources familiar with the matter, Kalshi could file with the CFTC as soon as next week. If approved, this would be the first oil-linked perpetual futures product to trade on a regulated US platform.

Key Details From Reports

• Kalshi plans to file for CFTC approval of a WTI crude oil perpetual futures contract.
• The contract would trade 24 hours a day, five days a week, without an expiration date.
• Filing could happen as soon as next week, based on sources.
• Perpetual futures are derivatives without expiration dates, allowing traders to hold positions indefinitely without rolling into new contracts.

What Bloomberg and Reuters Have Reported

Bloomberg first reported that Kalshi would seek approval for a never-expiring oil futures contract. Reuters added that the contract would trade around the clock five days a week. Both sources indicate the filing could occur soon.

CFTC's Recent Look at Energy Commodities

The CFTC has been exploring changes to energy futures trading. In June, it sought public comments on allowing 24/7 trading for standard futures and perpetual contracts linked to energy commodities like crude oil. Earlier, in July, the CFTC halted a CME Group contract that would have introduced 24/7 crude oil futures while it reviewed compliance with federal law.

Kalshi's Other Regulatory Challenges

Separately, Kalshi faces a jurisdictional dispute over its prediction-market business. On Tuesday, a Michigan state court issued an injunction barring Kalshi from offering sports-related event contracts in the state. Additionally, New Jersey has asked the US Supreme Court to resolve conflicts between federal and state laws regarding event contracts on CFTC-regulated exchanges.

Why This Could Be Significant for US Markets

If approved, the WTI crude oil perpetual futures contract would offer US traders a new way to engage with oil markets without expiration dates under regulated oversight.

Sources

• Cointelegraph