Crypto
Home›Crypto›Market Structure›Binance.US plans CFTC license to launch prediction mar…
Binance.US plans CFTC license to launch prediction markets
The exchange says it will apply in August for a Designated Contract Market status, which would let it offer prediction markets under CFTC rules.
Binance.US plans to apply for a CFTC license that would allow it to offer prediction markets to users, its CEO said at the Rare Evo blockchain conference. The CEO, Steve Gregory, said the application would seek Designated Contract Market, or DCM, status.
Under CFTC guidelines, DCMs can legally trade futures or option contracts based on underlying commodities, indexes, or other instruments. Companies applying as a DCM are expected to meet 23 core principles covering safeguards, record keeping, and conflict of interest handling, according to the exchange.
As of Wednesday, the CFTC had no records showing Binance.US has a pending DCM application. If approved, the move could position Binance.US as a new entrant in a space that includes platforms such as Kalshi and Polymarket.
The report also notes that the planned CFTC filing would come more than a year after the US Securities and Exchange Commission dismissed its lawsuit involving Binance, Binance US, and former Binance CEO Changpeng Zhao, including allegations that involved misuse of customer funds.