Prediction markets let users trade contracts tied to real-world outcomes such as elections, Federal Reserve decisions, and sports events. They resemble futures markets and can reflect crowd sentiment faster than traditional polling. Federal regulation is centered on the CFTC, which regulates derivatives and futures and has asserted exclusive federal jurisdiction for CFTC-registered prediction market exchanges. States have pursued restrictions through lawsuits, criminal penalties, and cease-and-desist orders targeting operators. Trump criticized specific state officials by name and urged that CFTC authority remain intact so prediction markets can thrive under federal rules. Trump also warned that foreign rivals are targeting both prediction markets and crypto, tying U.S. leadership to crypto dominance.
"It is critically important that the CFTC's exclusive authority over Prediction Markets is maintained, and that they will thrive, Trump wrote. Under my leadership, we are setting rules of the road' that are the Gold Standard for the States. Prediction markets are platforms where users trade contracts tied to real-world outcomes, from election results to Federal Reserve decisions to sports events. They function similarly to futures markets and have drawn attention as information tools that can reflect crowd sentiment more quickly than traditional polling."
"The CFTC, which regulates derivatives and futures under Chairman Michael Selig, has asserted that CFTC-registered prediction market exchanges operate under exclusive federal jurisdiction. States cannot classify those platforms as illegal gambling or impose separate licensing requirements, the agency has argued in court filings and ongoing rulemaking. James has filed lawsuits claiming certain prediction markets violate New York state gambling laws. Walz signed legislation this year imposing criminal penalties on operators of some prediction market platforms in Minnesota."
"On Truth Social, Trump directed his criticism at four officials by name, calling former New Jersey Gov. Chris Christie, New York Attorney General Letitia James, Minnesota Gov. Tim Walz, and Illinois Gov. JB Pritzker SCUM for interfering with prediction markets at the state level. Trump links U.S. prediction market dominance to crypto leadership, warning foreign rivals are targeting both sectors."
Read at news.bitcoin.com
Unable to calculate read time
Collection
[
|
...
]