CFTC Abandons Biden's Ban on Political Event Contracts Amid State Actions

The CFTC has decided to withdraw its 2024 proposal aimed at prohibiting political prediction market contracts, coinciding with intensified state oversight.

The Commodity Futures Trading Commission (CFTC) has made a significant move by withdrawing its proposed ban on political prediction market contracts, initially set for 2024. This decision coincides with an increased focus from various states on regulating these prediction markets.

Political prediction markets have gained traction as venues for forecasting election outcomes and other political events. As states ramp up their regulatory efforts, this shift from the CFTC may signal a complex ongoing dialogue between federal and state authorities regarding oversight in this sector.