U.S. CFTC rebuffs CME legal stance in consequential fight over perpetual futures

These peculiar products, popular in the crypto world, are hitting the mainstream

The federal court ruled that Washington's shifting regulatory approach to crypto cannot retroactively vacate established court judgments.

A US federal judge has rejected a joint request by crypto exchange Gemini and the Commodity Futures Trading Commission (CFTC) to overturn a $5 million settlement, despite the regulator’s conclusion that it would not have pursued the case under current enforcement standards. On Thursday, US District Judge Alvin Hellerstein ruled that changes in CFTC enforcement priorities and allegations of misconduct by its enforcement division did not justify overturning the January 2025 settlement. On May 27, the CFTC and Gemini jointly asked the court to overturn the settlement after an internal agency review found alleged misconduct by the regulator’s enforcement division, including reliance on a questionable whistleblower, improper regulatory pressure and efforts to prevent the disclosure of evidence. The ruling leaves intact a permanent injunction barring Gemini from making false or misleading statements to the CFTC. The settlement also prohibits Gemini from publicly denying its findings, although the regulator said in June that it would no longer enforce such restrictions.

The Building Canada Strong Act, Bill C-39, is what Prime Minister Mark Carney calls the most consequential economic legislation of this Parliament. Ottawa says it will get major projects built faster without lowering standards. Critics, including environmental groups, unions and some First Nations leaders, say it hands ministers sweeping new powers at the expense of nature, workers’ right to strike and Indigenous consultation. At more than 240 pages, it amends 19 laws plus four regulations. It also repeals the Shipping Conferences Exemption Act, which shielded ocean shipping lines from parts of competition law, and creates the Enabling Digital Trade Act, which lets companies use electronic trade documents instead of paper. The bill is still being debated in the House of Commons, where it passed second reading and was referred to a special Legislative Committee on Bill C-39. It must pass a third reading and clear the Senate before it becomes law. Here’s what it would change. Open this photo in gallery:Ministerial powersOne of the most contentious aspects of Bill C-39 is that it grants cabinet ministers many new powers in the name of speeding up approvals.