Case: 25-7831, 03/10/2026, DktEntry: 81.1, Page 15 of 43
Until recent weeks, the CFTC was careful not to endorse this activity. Most notably, in September, the CFTC issued a staff advisory directed at platforms offering sports-related events contracts. CFTC Letter No. 25- 36, Advisories (Sept. 20, 2025), https://www.cftc.gov/PressRoom/PressRe- leases/9137-25. The advisory warned that the CFTC had never “taken any official action to approve” the listing of such contracts. Id. at 2 n.4. The advisory further explained that the CFTC “has not, to date, made a determination regarding whether any such contracts involve an activity enumerated or prohibited under” the Commodity Exchange Act. Id. Those offering sports-related events contracts, the advisory thus cau- tioned, must be prepared for the possibility that state law will “result in the termination” of such contracts. Id. at 2. The CFTC has since changed its tune. At the end of last year, the Commission swore in a new Chairman. Fresh on the job, and without public input or comment, the Chairman soon broadcast his view that all events contracts—including those about sports—are “swaps” within the CFTC’s exclusive power. See, e.g. , Michael S. Selig, States Encroach on Prediction Markets , Wall Street Journal (Feb 16, 2026),
9
Made with FlippingBook - Online catalogs