CFTC chair opens prediction markets rulemaking to public comment
“This ends today,“ said CFTC Chair Michael Selig, who has been reiterating his position that the agency has exclusive jurisdiction overseeing prediction markets platforms.
Michael Selig, chair of the US Commodity Futures Trading Commission (CFTC), has proposed a rule that could amend or issue new regulations over event contracts on prediction markets platforms like Kalshi and Polymarket.
In a Thursday notice, the CFTC issued a staff advisory classifying event contracts on prediction markets as a “financial asset class.” The regulator also submitted an Advanced Notice of Proposed Rulemaking to be published in the Federal Register, asking for public comment on how the Commodity Exchange Act (CEA) would apply to prediction markets.
“Prediction markets are one of the most exciting innovations in financial markets,” said Selig in a Thursday X post. “Yet for too long, the CFTC has failed to provide guidance for these markets being used by millions of Americans. This ends today.”