Commodity Futures Trading Commission (CFTC) Chairman Mike Selig has reaffirmed the agency's commitment to defending its 'exclusive regulatory authority' over prediction markets. In an interview with CoinDesk, Selig stated that the CFTC's regulatory oversight applies to all prediction markets, regardless of the subject matter. The agency's lawsuits against several states aim to establish its authority in this area.
Selig cited a recent Third Circuit Court ruling as validation of the CFTC's position. The CFTC is engaged in a significant litigation effort to clarify its regulatory role in prediction markets, which it believes are subject to federal regulation under the Commodity Exchange Act.
Selig emphasized that the agency's regulatory authority is clear and that states cannot override federal oversight with their own gambling laws. The CFTC is also in the process of formal rulemaking to clarify its prediction market oversight and is open to suggestions. Additionally, the agency is reviewing comments on its interpretative guidance, published in collaboration with the Securities and Exchange Commission, to ensure clarity on the regulatory classification of digital assets.