Blockchain.com Applies for CFTC License to Launch Prediction Market Derivatives Business

On October 10, according to Cointelegraph, cryptocurrency exchange Blockchain.com has submitted an application to the U.S. Commodity Futures Trading Commission (CFTC) seeking two licenses: Designated Contract Market (DCM) and Futures Commission Merchant (FCM). If approved, the platform will be permitted to provide event contract and cryptocurrency derivative trading services to U.S. retail and institutional investors, establishing its dual identity as a futures exchange and broker.

This move marks a strategic upgrade for Blockchain.com in the decentralized finance sector. Although the company announced a partnership with decentralized prediction market Polymarket this July aimed at integrating prediction functionality within its app, securing CFTC approval would allow it to go beyond being merely a partner, enabling it to independently establish and operate its own standalone event contract marketplace.

Amid the ongoing tightening of industry regulation, the U.S. federal government has taken frequent actions. CFTC Chair Michael Selig recently emphasized that the agency is committed to advancing cryptocurrency regulation through rulemaking rather than legislative means, and noted that proposed new rules will establish "safety rails" for the spot market to prevent a recurrence of the tragic customer fund theft incident seen in the FTX collapse.