Blockchain.com Files With CFTC for U.S. Prediction Market and Derivatives Licenses

Blockchain.com has applied to the Commodity Futures Trading Commission (CFTC) for two specific licenses that would allow the digital asset platform to offer event contracts and crypto derivatives to U.S. customers. The filing marks a significant expansion for the company, which currently provides these services only to international clients.

Application Details

The company sought designations as both a designated contract market (DCM) and a futures commission merchant (FCM). Under the proposed regulatory framework, the DCM license would permit Blockchain.com to operate as a futures exchange specifically for event contracts. The FCM license would authorize the firm to act as a broker for derivatives, creating a direct channel for trading activities.

Together, these authorizations would enable Blockchain.com to serve both retail and institutional traders within the United States. Peter Smith, CEO and co-founder of Blockchain.com, stated that the goal is to let users manage digital assets, trade derivatives, and bet on real-world events all in one place.

International Operations

Currently, Blockchain.com offers prediction markets to international customers through a partnership with Polymarket. The platform also provides perpetual futures to non-U.S. users, powered by the decentralized exchange Hyperliquid. The new application aims to bring these specific service lines under federal regulation for domestic users, shifting the platform’s operational focus from offshore to onshore compliance.

This move places Blockchain.com among a growing cohort of firms seeking federal authorization. Eleven other companies have filed for DCM licenses this year, bringing the total number of applicants to 12. As of 2026, the CFTC has already approved six new DCM licenses, indicating an active review process for similar applications.

Regulatory Strategy

The push for federal licensing is driven by the current legal landscape surrounding prediction markets. State gambling regulators have recently sued operators including Kalshi and Polymarket, creating legal uncertainty for platforms operating without federal oversight. Obtaining a CFTC license provides legal cover from such state-level enforcement actions, offering a more stable regulatory environment for operators.

The CFTC has recently sent new rules to the White House, aimed at cementing its authority over prediction markets. This regulatory clarification arrives amid a high-profile court dispute involving the NFL and Kalshi over whether event contracts are federally regulated swaps. The Supreme Court has drawn attention to this legal conflict, underscoring the need for clear jurisdictional boundaries between federal and state authorities.

Market Outlook

Analysts at Bernstein project that the prediction market sector could generate billions in revenue by the end of the decade. They further predict the sector will grow into a $10 trillion market. As the regulatory framework solidifies, major platforms like Blockchain.com are positioning themselves to capture a share of this expanding industry, leveraging federal licenses to mitigate the legal risks that have plagued state-regulated competitors.