The US Commodity Futures Trading Commission is examining promotional and incentive schemes used by prediction market operators amid concerns that some platforms are using misleading offers to attract potential traders.
According to Front Office Sports, CFTC Chairman Michael Selig has not yet decided how the commission will proceed, although some form of “action” is expected by the end of the week.
The commission is examining promotions that provide users with cash rewards for opening accounts and completing trades, as well as schemes advertised as “risk-free” or offering guaranteed profits. The CFTC has reportedly raised concerns that some of these offers could mislead customers.
