Futures contracts tied to Nvidia GPU rental prices, seen as a critical tool for turning AI computing power into an investable asset class, have hit a regulatory roadblock. According to a letter sent to an exchange and reviewed by The Information, the CME Group had hoped to list the contracts as early as the beginning of October, but it will not receive regulatory approval by that time.

The Commodity Futures Trading Commission (CFTC), which oversees the futures market, is extending its review period to delve deeper into how these contracts function and is soliciting feedback from across the industry. In theory, if a sufficiently liquid trading market develops for these futures, AI companies and computing power suppliers could lock in costs in advance, hedging against the risk of sharp fluctuations in GPU rental prices.

Additionally, amid the boom in AI infrastructure financing, lenders could use this instrument to hedge against the risk of depreciation on GPU assets used as collateral. The CME announced last month that, pending regulatory approval, it planned to launch computing power futures on October 5, with price benchmarks provided by startup data service provider Silicon Data.

The exchange planned to debut two new products initially: one tracking rental prices for Nvidia's H100 and another benchmarked against Nvidia's B200 chip. However, in late August, the CFTC issued a public request for comment on computing power derivative contracts, focusing its investigation on market manipulation and other potential risks.

The CFTC stated that while a computing power financial market could bolster the U.S. AI industry, the underlying spot market is highly fragmented and lacks transparency. For instance, GPU rental prices are often determined through one-on-one private, customized contracts, with no large public trading market. This creates a risk that major market players could manipulate prices for their own benefit.

At that time, the CFTC opened a 60-day comment period, inviting all market participants to share their views on the new products. This move already cast doubt on whether the CME could meet its October launch timeline. A letter from the CFTC on September 21 confirmed that the contracts would not be able to launch as scheduled the following month. The CFTC stated that given the novel and complex issues presented by the products, it needs more time to evaluate the CME's launch plan, extending the product review period by 45 days to November 9.

Beyond the CME, competitor Intercontinental Exchange (ICE) has also announced GPU futures plans but has not yet set a specific launch date. Several emerging exchanges are similarly racing to list comparable contracts. In an emailed statement, Silicon Data CEO Carmen Lee said, "Additional scrutiny from regulators is a necessary part of establishing a new derivatives market. Whether the first contracts launch in October or slightly later, it won't change the underlying market logic. With significant capital pouring into AI infrastructure, the demand for reliable computing power pricing and risk management tools will only become more urgent." The CME declined to comment on the matter.