CFTC to Develop New Rules for Prediction Markets

The U.S. Commodity Futures Trading Commission (CFTC), led by Chair Michael Selig, announced plans to develop new regulations for prediction markets. This move includes the formal withdrawal of a 2024 proposal that aimed to ban contracts related to sports and political events. Additionally, the CFTC will rescind a 2025 staff advisory. These actions are intended to reduce regulatory uncertainty and provide clearer oversight for the prediction market sector.