The hands-off approach taken by the federal regulator of prediction markets looks like it is about to get more hands-on, but perhaps in a good way for operators.
U.S. Commodity Futures Trading Commission (CFTC) chairman Michael Selig announced Thursday that the agency will officially withdraw unfinalized rules that were proposed in 2024 for event contracts. Those rules would have prohibited betting markets for politics and sports.
Also being pulled is a 2025 staff advisory letter that warned operators about offering sports event contracts amid ongoing lawsuits challenging their legality.
“While the advisory was issued at the staff level with the intent of bringing awareness to the litigation, it has instead contributed to uncertainty in our markets,” Selig said.
