Commodity Futures Trading Commission Chairman Mike Selig emphasized that the agency will continue to assert its 'exclusive regulatory authority' over prediction markets in court, stating that any validly offered product within a CFTC-regulated exchange falls under its jurisdiction, regardless of the subject matter. The CFTC is currently engaged in lawsuits against several states, including Arizona, Illinois, and Connecticut, to establish its authority over commodity derivatives markets.
Selig pointed out that a recent Third Circuit Court ruling supports the agency's position. The CFTC is also reviewing comments on its interpretative guidance with the Securities and Exchange Commission and is open to suggestions on its oversight of prediction markets.