will be considered as required under the Administrative Procedure Act and other applicable laws, and may be accessible under FOIA. FOR FURTHER INFORMATION CONTACT: Mark Fajfar, Senior Assistant General Counsel, 202-418-6636, mfajfar@cftc.gov , Office of the General Counsel, Commodity Futures Trading Commission, Three Lafayette Centre, 1151 21st Street, NW, Washington, DC 20581. SUPPLEMENTARY INFORMATION: Table of Contents I. Background A. Prediction Markets B. Statutory and Regulatory Requirements C. Past Commission Notices Regarding Prediction Markets II. Questions and Request for Comment A. Core Principles and Commission Regulations B. Public Interest
C. Activities Listed in CEA Section 5c(c)(5)(C) D. Procedural Aspects of CEA Section 5c(c)(5)(C) E. Inside Information F. Types of Event Contracts and Other Issues
I.
Background A. Prediction Markets
On prediction markets, participants buy and sell contracts based on whether events stated in the contracts occur. Prediction markets “function as information aggregation vehicles” because the contract prices will reflect the market participants’ aggregate beliefs regarding whether the events will occur. 2
2 See Concept Release on Appropriate Regulatory Treatment of Event Contracts, 73 FR 25669, 25669 (May 7, 2008) (2008 Concept Release).
3
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