CME CEO Warns US Bitcoin Perps Pose Systemic Risk as Exchange Stocks Slide

On June 5 CME Group CEO Terry Duffy warned that CFTC-approved Bitcoin perpetual futures could amplify retail losses and systemic risk with up to 50x leverage. The warning follows the May 29 CFTC approval of Kalshi’s BTCPERP—the first regulated U.S. Bitcoin perpetual—and subsequent no-action relief allowing Coinbase Financial Markets to route clients to Deribit. Kraken filed to launch competing contracts within 30 days, sending shares of CME, Cboe and ICE lower on fears of 24/7 onshore competition eroding legacy revenues while Bitcoin traded above $74,000.