Binance US disclosed that it plans to apply for a Designated Contract Market (DCM) license from the U.S. Commodity Futures Trading Commission (CFTC) next month, aiming to launch a prediction market business for U.S. users. This is part of a new round of expansion, focusing on reducing trading fees and extending its business from spot to more derivative products.
Intending to apply for a DCM license
According to the company, if the application process proceeds smoothly, Binance US will use this license to enter the regulated prediction market sector. A Derivative Market (DCM) is an important type of license in the US derivatives market, typically used for contract listing and trading operations.
Expanding to prediction markets and perpetual contracts
Company CEO Stevie Satoshi stated that this plan is part of a broader growth strategy. In addition to prediction markets, the platform hopes to expand its product line to include businesses such as crypto perpetual futures, moving beyond a sole focus on spot trading.
- Target applicant: US CFTC
- Target License: Designated Contract Market (DCM)
- Proposed product expansion: Prediction markets, crypto perpetual contracts
Exchanges seek more revenue streams
Based on disclosed information, Binance US is attempting to attract users and increase platform activity by offering more trading products. Lowering transaction fees and increasing the supply of derivatives indicate its desire to open up new growth opportunities in the US market.
Additional information:Currently, the company has not disclosed any further details beyond the application timeline, nor has it specified which specific themes the forecasting market product will cover.
