In an interview with CoinDesk, Commodity Futures Trading Commission Chairman Mike Selig emphasized that the agency will continue to assert its 'exclusive regulatory authority' over prediction markets in court. Selig stated, 'Regardless of the subject, whether it's sports or politics, if it's a legitimate product offered within a CFTC-regulated exchange, we have jurisdiction over it.' The CFTC is currently engaged in lawsuits against several states, including Arizona, Illinois, and Connecticut, to establish its authority over prediction markets.
Selig's comments come after a recent Third Circuit Court ruling that supported the CFTC's oversight of these markets. The agency is also in the process of clarifying its regulatory framework for prediction markets through formal rulemaking.