All posts tagged: CFTC

CFTC steps in to shield Kalshi from New York shutdown attempt

CFTC steps in to shield Kalshi from New York shutdown attempt

Published by skeptic

Kalshi can keep operating for now after the Commodity Futures Trading Commission (CFTC) invoked its emergency powers, warning that an effort by New York to restrict the prediction-market exchange could disrupt derivatives markets in the United States and internationally if the platform were forced to shut down. The CFTC issued its emergency order on August 11 after Kalshi notified the regulator on August 1 that New York’s pending request for a temporary restraining order had created what it described as an imminent market emergency. The order directs Kalshi to continue operating under its normal business practices and the Core Principles of the Commodity Exchange Act while the legal dispute continues. This is the first time the CFTC has exercised its emergency authority in over three weeks. https://t.co/iRaz00Ttdo — Rob Schwartz (@FormerCFTCGC) August 11, 2026 The latest development comes less than two weeks after New York Attorney General Letitia James filed a lawsuit alleging Kalshi is operating an illegal gambling business by offering contracts tied to sports, elections, culture and other future events without a New …

Novig sues three more states, CFTC appeals Wisconsin ruling, today in Prediction Market News LIVE

Novig sues three more states, CFTC appeals Wisconsin ruling, today in Prediction Market News LIVE

Published by skeptic

Today in prediction market news, we’re following a wave of legal and regulatory developments across the industry, including Novig filing lawsuits against Washington, Massachusetts, and New Mexico, New York seeking to move its Kalshi case back to state court, and the CFTC appealing the Wisconsin prediction market ruling. We’ll also track Kalshi’s emergency bid for an injunction in Utah, the CFTC’s latest warning to prediction markets, and breaking developments across prediction markets, regulation, crypto, elections, and sports event trading throughout the day. The post Novig sues three more states, CFTC appeals Wisconsin ruling, today in Prediction Market News LIVE appeared first on ReadWrite. Source link

CFTC warning on ‘American odds’ puts sports prediction market pricing in the spotlight

CFTC warning on ‘American odds’ puts sports prediction market pricing in the spotlight

Published by skeptic

The Commodity Futures Trading Commission (CFTC) has warned companies offering event-contract derivatives that presenting prices in sportsbook-style “American odds” could mislead consumers, a move that could have significant implications for sports-focused prediction market products offered or distributed by major betting brands. .@CFTC Reminds Markets to Display Clear Pricing Information: https://t.co/ZN4rDFRpPI — CFTC (@CFTC) August 7, 2026 In an August 7 press release, the CFTC said its Division of Market Oversight and Market Participants Division had reminded regulated entities involved in listing, soliciting or accepting event contracts that they must provide “clear and accurate pricing information” and avoid misleading consumers. The underlying three-page staff letter goes further. CFTC staff said it was concerned about reports that some regulated event-contract products were being marketed using the “American odds” format associated with casino gambling bookmakers, rather than nominal or percentage pricing reflecting market prices. The warning represents the latest step in the CFTC’s increasingly active oversight of prediction markets. Earlier this year, the commission issued guidance stressing that event-contract exchanges are responsible for robust surveillance, contract design and …

CFTC warning on ‘American odds’ puts sports prediction market pricing in the spotlight

CFTC warning on ‘American odds’ puts sports prediction market pricing in the spotlight

Published by skeptic

The Commodity Futures Trading Commission (CFTC) has warned companies offering event-contract derivatives that presenting prices in sportsbook-style “American odds” could mislead consumers, a move that could have significant implications for sports-focused prediction market products offered or distributed by major betting brands. .@CFTC Reminds Markets to Display Clear Pricing Information: https://t.co/ZN4rDFRpPI — CFTC (@CFTC) August 7, 2026 In an August 7 press release, the CFTC said its Division of Market Oversight and Market Participants Division had reminded regulated entities involved in listing, soliciting or accepting event contracts that they must provide “clear and accurate pricing information” and avoid misleading consumers. The underlying three-page staff letter goes further. CFTC staff said it was concerned about reports that some regulated event-contract products were being marketed using the “American odds” format associated with casino gambling bookmakers, rather than nominal or percentage pricing reflecting market prices. The warning represents the latest step in the CFTC’s increasingly active oversight of prediction markets. Earlier this year, the commission issued guidance stressing that event-contract exchanges are responsible for robust surveillance, contract design and …

Novig launches nationwide sports prediction market after securing federal CFTC approval

Novig launches nationwide sports prediction market after securing federal CFTC approval

Published by skeptic

Novig is taking its sports prediction market across the United States after the Commodity Futures Trading Commission approved the New York company as a Designated Contract Market. The designation puts Novig under a federal regulatory structure rather than the state-by-state licensing system used by traditional sportsbooks. It also gives the startup a nationwide route into a market dominated by operators such as DraftKings, FanDuel and BetMGM. Novig is officially live nationwide Welcome to the next generation of sports trading on the prediction market built for fans. pic.twitter.com/HHXpUHrLiZ — Novig (@Novig) August 4, 2026 Users now have access to instant live trading, additional payment methods and greater liquidity. Novig says those upgrades should improve pricing and make trading sports markets quicker, including while games are underway. Federal oversight also comes with additional controls. The company says it has expanded its compliance program, market surveillance and protections against manipulation and insider activity. Users must be at least 21. “For too long, sports fans have had limited ways to engage with the markets they know best. They are …

White House betting controversy, Kalshi legal fight, 44 AGs oppose CFTC proposal, today in prediction market news LIVE

White House betting controversy, Kalshi legal fight, 44 AGs oppose CFTC proposal, today in prediction market news LIVE

Published by skeptic

Today in prediction market news, we’re following the biggest developments shaping the industry, including fresh legal setbacks for Kalshi in its fight with New York regulators, a White House official’s response to allegations involving prediction market bets tied to President Trump, and a coordinated push by 44 state attorneys general urging the CFTC to reject proposed prediction market rules. We’ll also cover Minnesota’s latest actions on prediction markets, including a new executive order on insider betting and court developments clarifying the state’s enforcement authority, as well as ProphetX’s $35 million funding round, the launch of a prediction market-focused media company, regulatory updates, and other breaking prediction market news throughout the day. The post White House betting controversy, Kalshi legal fight, 44 AGs oppose CFTC proposal, today in prediction market news LIVE appeared first on ReadWrite. Source link

CFTC warning on ‘American odds’ puts sports prediction market pricing in the spotlight

Forty-four state attorneys general challenge CFTC sports prediction markets rule proposal

Published by skeptic

A coalition of 44 state attorneys general is pressing the Commodity Futures Trading Commission (CFTC) to abandon and rewrite its proposed prediction markets rule, saying the agency is trying to regulate sports betting without legal authority.  The group argues the plan would shift control away from long-established state gambling regulators and hand it to a federal agency that was never given that responsibility by Congress. Attorneys general warn CFTC rule on prediction markets would override state protections In comments submitted to the CFTC, the attorneys general said the proposal “would drastically expand federal regulatory authority in an area of major economic and political consequence that States have traditionally regulated.” They maintain the Commodity Exchange Act does not empower the commission to oversee sports betting through event contracts and that the proposal crosses both statutory and constitutional boundaries. “The Proposed Rule goes beyond the CFTC’s statutory powers, is in tension with the Constitution, and would otherwise be arbitrary and capricious in its current form,” wrote the coalition of states attorneys general, led by Ohio Attorney General …

Former Senator Dodd challenges CFTC prediction markets proposal citing congressional intent

Former Senator Dodd challenges CFTC prediction markets proposal citing congressional intent

Published by skeptic

Former U.S. Sen. Christopher J. Dodd is pressing the Commodity Futures Trading Commission to abandon a proposed rule on prediction markets, saying it would depart from what Congress intended when it approved the Dodd-Frank Act after the 2008 financial crisis.  His July 26 letter to CFTC Secretary Christopher Kirkpatrick argues the proposal could encourage gambling through regulated derivatives markets instead of preserving the law’s original purpose. Here's former US Sen. Chris Dodd (of the Dodd-Frank Act) on the CFTC's proposed prediction market rules. He's not a fan: "We did not amend the Commodity Exchange Act to override the established system for states to develop their own policies and laws regulating gaming." pic.twitter.com/W0JoHTznZ2 — Geoff Zochodne (@GeoffZochodne) July 27, 2026 “In the past year, additional speculators have emerged promoting event contracts that are merely a substitute for gambling,” Dodd wrote. “The CFTC is now engaged in work to amend its regulations to facilitate gambling on derivatives exchanges.” The former Connecticut senator said the proposed changes “contradict the language and intent of the Dodd-Frank Act” and “could …

Kalshi says it flagged and referred Trump teleprompter operator trades to CFTC as White House responds

Kalshi says it flagged and referred Trump teleprompter operator trades to CFTC as White House responds

Published by skeptic

Kalshi says it spotted suspicious trading tied to markets on President Donald Trump’s speeches before anyone raised the issue publicly, then investigated the activity and alerted federal regulators. The prediction market exchange offered its first public account of the matter Thursday (July 16) through a statement from Robert Denault, Kalshi’s Head of Legal and Enforcement. His comments followed reports that President Trump’s longtime teleprompter operator is believed to have earned more than $100,000 by betting on markets connected to the president’s speeches. The Kalshi surveillance team promptly flagged, investigated and referred these trades to the CFTC. We have been assisting regulators on this matter and provided all evidence that we collected, as we do with any referral. https://t.co/1XGX5zatpl — robertjdenault (@robertjdenault) July 16, 2026 In a statement posted Thursday on X, Denault wrote: “The Kalshi surveillance team promptly flagged, investigated and referred these trades to the CFTC. We have been assisting regulators on this matter and provided all evidence that we collected, as we do with any referral.” His comments were the company’s first public …

CFTC orders Kalshi to restore unwound Michigan prediction market trades

CFTC orders Kalshi to restore unwound Michigan prediction market trades

Published by skeptic

The Commodity Futures Trading Commission (CFTC) has directed Kalshi to complete pending trades that the prediction market operator had previously unwound after a Michigan state court order. The move leaves the company arguing it is now trapped between conflicting legal demands from state and federal authorities. The agency said it had stayed a Kalshi rule change and used its emergency authority to require the exchange to honor the affected trades. That decision effectively reverses Kalshi’s earlier response to the Michigan court order and prompted the company to say it is being forced into an impossible position. Kalshi sharply criticized the regulator’s action in a statement from its Head of Enforcement and Legal Counsel, Robert Denault. The company said it reversed the trades only because it believed compliance with the Michigan court’s directive was mandatory. We are disappointed by this decision and believe it is unfair to Kalshi. We already acted and unwound the trades, as the Michigan court order required us to do. We are being put in an impossible position, looking to follow state court …