CFTC proposes new rules to classify event contracts as swaps and assert exclusive jurisdiction over prediction markets, blocking state-level gambling claims.
Regulation & Gov ·
The CFTC submitted two rules to the White House on September 28 that would classify event contracts as "swaps" under its jurisdiction while excluding "casino-style gambling products," according to https://decrypt.co/379750/cftc-sends-white-house-new-rules-to-cement-its-grip-on-prediction-markets. The move aims to establish exclusive federal authority over prediction markets and block state-level gambling claims against operators like Kalshi and Polymarket amid conflicting court rulings now before the Supreme Court. The proposed rule would head to public comment while the interim final rule could take effect upon approval, with both classified as not economically significant.