CFTC Chairman Mike Selig emphasized that the agency will persist in defending its exclusive right to regulate prediction markets. He clarified that any product offered within a CFTC-regulated exchange falls under the agency's jurisdiction, regardless of the subject matter. Selig's comments came on the sidelines of the Digital Assets and Emerging Tech Policy Summit, where he underscored the CFTC's lawsuits against several states as a means to establish its authority over commodity derivatives markets.
The agency's position has been bolstered by a recent Third Circuit Court ruling. Under Selig's leadership, the CFTC has been actively litigating to establish that prediction markets offer derivatives products, which are subject to federal regulation, rather than gambling services regulated by individual states.