The Commodity Futures Trading Commission today filed a lawsuit against Kentucky to block the state’s efforts to shut down CFTC-registered contract markets using state laws. The lawsuit follows Kentucky’s decision to file civil enforcement actions in state court against CFTC-regulated designated contract markets, seeking to obtain large monetary penalties from those entities. In addition, the state recently created a new special transaction fee on CFTC-regulated DCMs to encourage these platforms to shut down in the state. Kentucky’s effort to restrict the functioning of CFTC-registered exchanges obstructs Congress’ ... (full story)