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CFTCLicensingJune 12, 2026

CFTC Proposes Rules Clarifying Which Prediction Market Contracts Are Banned

The CFTC is proposing amendments to define more precisely which event contract derivatives (prediction markets) can be blocked from trading or clearing as contrary to the public interest, including a new definition of 'gaming' and factors for making that determination. Crypto exchanges and DeFi platforms that offer or plan to offer prediction market products need to assess whether their offerings could be swept in under the proposed factors. This rulemaking signals increased regulatory scrutiny of on-chain and off-chain prediction markets.

What to do

  • Review your current or planned prediction market product offerings against the CFTC's proposed public-interest factors and 'gaming' definition, and submit comments during the public comment period if your products may be affected.

Who this affects

Crypto ExchangeDeFi / Web3Broker-Dealer / RIAOther

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Source

Read the official publication

This radar entry is educational and does not constitute legal advice. Summaries are AI-assisted and grounded in the linked official source; always verify against the primary source and consult qualified legal counsel for jurisdiction-specific guidance.

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