A recent initiative from the U.S. Commodity Futures Trading Commission (CFTC) aimed at establishing federal regulations for sports and other prediction market contracts has encountered significant pushback. This opposition comes from a diverse group including lawmakers, Native American tribes, consumer advocates, traditional casinos, and former officials of the agency.
According to a review of public feedback released on Monday, many Native American tribes, casino operators, and local authorities across 20 states view the sports contracts available through prediction markets as illegal gambling. They believe these should remain under the jurisdiction of state and local governance, as reported by Reuters. Notably, sports prediction markets are currently prohibited in states like Nevada and Michigan.
The CFTC's proposal, unveiled last month, seeks to limit contracts related to activities outlined in federal law, such as crime, terrorism, assassination, war, and