The Commodity Futures Trading Commission (CFTC) will continue to assert its authority to regulate prediction markets, according to Chairman Mike Selig. In an interview with CoinDesk, Selig stated that the agency's lawsuits against several states are aimed at establishing its "exclusive regulatory authority" over these markets.
Selig emphasized that the CFTC's role is clear, regardless of the type of event being predicted, as long as the product is offered on a federally regulated exchange. The chairman pointed to a recent court ruling that supported the CFTC's position, and noted that the agency is engaged in a broader effort to clarify its oversight of prediction markets. Selig also highlighted the importance of the CFTC's authority in ensuring that states do not attempt to override federal regulations with their own gambling laws.
The CFTC is currently involved in a formal rulemaking process to provide further guidance on its approach to regulating prediction markets.