Back
Automatically translated version. May contain inaccuracies compared to the original.
Wall Street giants are trying to block Kalshi’s stock market debut
🔹The prediction-market platform Kalshi received approval to launch perpetual futures on the stocks of more than 50 companies, including Meta and McDonald’s. However, the biggest Wall Street players are attempting to challenge this decision in court, reports The Wall Street Journal.
🔹Perpetual futures, which previously became popular in the crypto market, allow traders to profit from rises or falls in stock prices without buying the underlying shares. These contracts can be traded around the clock, often with leverage, and they have no expiration date.
🔹Citadel Securities and the Cboe exchange opposed the launch. 3 in November the Capital Markets Alliance coalition filed a lawsuit against the regulator CFTC, seeking to overturn the approval to trade these instruments. The plaintiffs argue that perpetual futures should be regulated under the stricter rules that apply to the stock market.
🔹Kalshi says competitors are trying to protect their own business from a new entrant. The court has not stopped trading so far but has found that the plaintiffs have substantial arguments in the case.
@sho_azartny
Telegram publication
