# SEC Sides With CFTC in Fight Over Stock Perps

*Author: David Christopher*
*Published: Nov 12, 2026*
*Source: https://www.bankless.com/read/news/sec-sides-with-cftc-in-fight-over-stock-perps*

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The SEC [backed](https://www.courtlistener.com/docket/75062269/capital-markets-alliance-association-v-commodity-futures-trading/) the CFTC against the Capital Markets Alliance, a group backed by Cboe and Citadel Securities that is suing to undo the CFTC's Nov. 2 approval of perpetual futures on single U.S. stocks. 

## What's the Scoop?

- **The Brief:** The SEC called the alliance's picture "of a CFTC gone rogue, and an SEC gone missing" mistaken, [per The Block](https://www.theblock.co/news/regulation/2026-11-11-sec-enters-fight-who-regulates-perpetual-derivatives-stocks-in-us-438427). It said the exchanges' rules for the contracts still go through its own review, and it agreed with the CFTC that the alliance has no right to sue. Notably, it didn't say whether perps are futures or swaps, and it has until Dec. 31 to decide whether to overturn those exchange rules. 

- **The Fight:** The alliance argues a contract that never expires can't be a "security future," which the CFTC and SEC oversee jointly, and is really a security-based swap, which only the SEC oversees and which is much harder to sell to retail traders. Judge Valerie Caproni [denied](https://www.courtlistener.com/docket/75062269/capital-markets-alliance-association-v-commodity-futures-trading/) its emergency request on Nov. 3 for lack of proven harm, but found it likely to win that argument. 

- **The Lineup:** Coinbase, Kalshi, Kraken parent Payward, DRW, Jump and Paradigm [filed](https://assets.ctfassets.net/vb2n37v5ldjn/67o21HjkO4VyKJU0hfGKNN/3435aad5084d4d98a303fc3563b5e367/CMAA_v_CFTC_Amicus.pdf) their own brief arguing the contracts are security futures, while Better Markets and former SEC Commissioner Allison Herren Lee are asking to weigh in on the alliance's side. No hearing date is set, and the products Kalshi [launched](https://www.bankless.com/read/news/kalshi-launches-u-s-stock-perps-hits-300m) last week keep trading until Judge Lorna Schofield, who was assigned the case, rules on the alliance's bid for an injunction.
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