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Designated Contract Markets

Definition

Designated Contract Markets are regulated exchanges where futures and options on commodities, including digital assets, are traded. These are trading venues authorized and regulated by the Commodity Futures Trading Commission (CFTC) in the United States to offer futures and options contracts. DCMs must comply with specific statutory and regulatory requirements designed to ensure market integrity, financial stability, and customer protection. For digital assets, listing on a DCM signifies a degree of regulatory acceptance and oversight, potentially increasing institutional participation.