Binance US applies for CFTC licence for prediction markets

Binance US will apply for a licence with the US Commodity Futures Trading Commission (CFTC) next month to offer prediction markets. That was revealed by CEO Norman Reed, also known as @Stevie_Satoshi, during the RareEvo Conference. The move is part of a broader strategy to revive the exchange.

Binance US wants to be officially recognised as a contract market via a so-called Designated Contract Market (DCM) licence. With that status, the platform can offer products that go beyond ordinary spot trading, including prediction markets and perpetual contracts.

Comeback after difficult period

The application to the CFTC is not an isolated action, but part of a larger plan to put Binance US back on the map. The exchange has suffered significantly from legal pressure in recent years, losing many users and market share as a result. With lower trading fees and a broader product range, it wants to win back US customers.

The focus on prediction markets is striking, especially given the growing interest in this type of platform in the US. For instance, gamblers previously lost heavily on Kalshi, while a judge recently blocked a ban on prediction markets in Minnesota. The market is clearly drawing the attention of major players.

Expansion into perpetuals

In addition to prediction markets, Binance US is also focusing on perpetual contracts. These are financial instruments that allow traders to speculate on the price of an asset without an end date on the contract. Interest in this segment is growing rapidly: the open interest in traditional finance perpetual futures recently doubled to more than $2 billion.

If the CFTC approves the DCM application, Binance US can legally offer these products to US customers. The application is scheduled for August 2026. Whether the regulator will respond quickly remains to be seen.