CFTC Splits Event Contracts From Gambling, Opens 30-Day Comment Period
• Proposed rule would widen the swap definition to cover event contracts on sports, politics, culture and weather
• Interim final rule, effective immediately, carves sportsbook wagers and casino games out of that definition
• Chair Michael Selig: casino-style products are not derivatives
• States are suing prediction-market operators, and the Supreme Court is weighing the question
Good for regulated venues that want clear federal cover, but a Supreme Court loss would reopen the fight. Not financial advice, DYOR.
#CFTC
• Proposed rule would widen the swap definition to cover event contracts on sports, politics, culture and weather
• Interim final rule, effective immediately, carves sportsbook wagers and casino games out of that definition
• Chair Michael Selig: casino-style products are not derivatives
• States are suing prediction-market operators, and the Supreme Court is weighing the question
Good for regulated venues that want clear federal cover, but a Supreme Court loss would reopen the fight. Not financial advice, DYOR.
#CFTC