Better Markets and former Securities and Exchange Commission acting chair Allison Herren Lee warned in a court brief that Commodity Futures Trading Commission approved single stock perpetual futures are “leveraged roughly six-to-one,” meaning “an investor’s entire portfolio can be zeroed out with just a 16% movement in the market.” Separately, the New York Times reported that CFTC Chairman Michael Selig reversed long standing policy to authorize perpetual crypto and stock trades on Kalshi and other venues over the concerns of SEC staff.
