Blockchain.com has applied for two U.S. regulatory authorizations that could allow the cryptocurrency platform to offer prediction markets and cryptocurrency derivatives to American customers, marking a potential expansion of its trading services in one of the world’s most closely regulated financial markets.
The company has sought registration as a designated contract market (DCM) and a futures commission merchant (FCM), according to a report published on October 9. The applications fall under the jurisdiction of the U.S. Commodity Futures Trading Commission (CFTC), which oversees derivatives markets and relevant market intermediaries.
If approved, the licenses would enable Blockchain.com to extend prediction-market and derivatives products currently available to customers outside the United States to eligible U.S. users, bringing more trading services under its own regulated operating framework.
Blockchain.com Seeks to Consolidate Trading Services
Blockchain.com operates a cryptocurrency wallet and trading platform and has been expanding its range of digital asset services. The latest applications indicate that the company wants to combine cryptocurrency management, derivatives trading and event-based prediction markets within a single platform.
Chief Executive Peter Smith has emphasized the potential benefits of allowing customers to manage digital assets, trade derivatives and take positions on real-world events without switching between separate applications. Such an approach could simplify the user experience while encouraging customers to access multiple financial products through one service.
The company already provides access to prediction markets through Polymarket and perpetual futures trading through Hyperliquid. However, these offerings are currently available only to customers outside the United States, according to the report.
Obtaining the necessary U.S. authorizations could help remove that geographic limitation, subject to regulatory approval and applicable operating requirements. It would also place greater emphasis on the company’s ability to meet U.S. compliance standards for derivatives and event-based contracts.
Regulatory Approval Remains a Key Hurdle
The two registrations serve different purposes within the U.S. derivatives market. A designated contract market is an exchange authorized to list and facilitate trading in futures, options, and other eligible derivatives contracts. A futures commission merchant generally accepts customer orders and handles funds associated with futures and certain derivatives transactions.
The CFTC oversees both categories, although the obligations differ according to the activities performed. Approval would not automatically authorize every type of prediction market or cryptocurrency derivative. The products offered would need to comply with the applicable regulatory framework, including relevant rules governing contract listings, customer protections and market operations.
Prediction markets have attracted growing attention because they allow participants to trade contracts linked to the outcomes of political, economic, financial, sports, and other real-world events. Their regulatory treatment can vary depending on the underlying event and contract structure, making U.S. market access a significant consideration for platforms seeking to expand their offerings.
Blockchain.com’s applications reflect a broader effort to integrate cryptocurrency trading, derivatives and event-based markets into a unified financial platform, although the timing and scope of any U.S. launch will depend on regulatory decisions.
Tokenized Stocks and ETFs Add to Expansion Plans
The licensing effort follows another initiative announced by Blockchain.com in September, when the company said it would work with the New York Stock Exchange to help users trade tokenized U.S. stocks and exchange-traded funds.
Tokenization represents financial assets as digital tokens on blockchain infrastructure. Depending on the structure, such products may offer new ways to access and transfer ownership interests, although their legal rights and trading arrangements depend on the relevant issuer and regulatory framework.
The proposed collaboration signals Blockchain.com’s interest in extending beyond conventional cryptocurrency services and into blockchain-based representations of traditional financial assets.
IPO Plans Put Valuation in Focus
Blockchain.com is also preparing for a potential public listing. The company confidentially filed for a U.S. initial public offering in May, according to the report.
Bloomberg News has reported that the company is seeking to list within the year at a valuation of $4 billion to $6 billion. Blockchain.com is reportedly targeting approximately $500 million in proceeds from the offering.
The proposed IPO and regulatory applications represent parallel elements of the company’s expansion strategy. However, neither the intended valuation nor the fundraising target guarantees a completed listing. Market conditions, financial performance, and regulatory developments could influence the outcome.
For Blockchain.com, securing U.S. authorization could broaden its addressable customer base and strengthen its position across digital asset services. The immediate priority remains obtaining the necessary approvals before extending its prediction-market and derivatives products to American customers.