The CFTC announced on its website on the 13th that it had sued Louisiana to block the state from prohibiting exchanges, futures commission merchants, and clearinghouses regulated by the agency from continuing to offer event contracts.
The trigger was an order issued by a state court on Thursday that shut down more than 30 companies in the state involved in trading these regulated derivatives. Officials said the companies received no advance notice and were not given an opportunity to be heard. Chairman Selig said the lawsuit was filed to maintain the status quo while the federal courts handle the matter through the proper process. Officials also noted that Louisiana is the 12th state the CFTC has sued to defend its exclusive jurisdiction.
#CFTC #Prediction markets
The trigger was an order issued by a state court on Thursday that shut down more than 30 companies in the state involved in trading these regulated derivatives. Officials said the companies received no advance notice and were not given an opportunity to be heard. Chairman Selig said the lawsuit was filed to maintain the status quo while the federal courts handle the matter through the proper process. Officials also noted that Louisiana is the 12th state the CFTC has sued to defend its exclusive jurisdiction.
#CFTC #Prediction markets
