PredictIt, a popular but previously unlicensed exchange for political junkies to put money on election outcomes, has won approval to expand operations as a regulated derivatives exchange, according to documents released Friday.
The Commodity Futures Trading Commission granted PredictIt’s operator, Aristotle, licenses to operate an exchange and clearinghouse, a key element for prediction markets exchanges to process trades. The company’s applications have been pending since late 2021.
The regulatory sign-offs add to a spate of CFTC approvals in recent months of new prediction market exchanges, swelling the ranks of regulated firms letting customers wager on everything from interest rate moves to sports championships to political outcomes.
