The Commodity Futures Trading Commission asked a Washington, D.C. court to dismiss CME’s lawsuit challenging Kalshi’s Bitcoin perpetual futures contract. Kalshi’s cash-settled BTCPERP contract was approved on May 29. The product has no expiration date, uses a funding-rate mechanism, and tracks Bitcoin spot prices. CME argues that contracts without delivery dates and with ongoing funding payments should be classified as swaps rather than futures. The CFTC called CME’s lawsuit unfounded and said CME could list similar products. The agency also said CME Bitcoin futures trading volume in June and August exceeded May levels, indicating no clear harm to its business. CME must file its response by October 2.