CFTC chair Michael Selig said he intends to establish a framework for prediction markets that would permit sports event contracts. He also called on the agency to defend its exclusive jurisdiction over commodity derivatives in court.
The planned framework and jurisdictional approach could shape how prediction-market providers offer sports event contracts in the US.
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PENN Entertainment will not enter sports prediction markets while their legal status remains uncertain, chief executive Jay Snowden told investors and analysts. Snowden said the company would not risk its gaming licences and would stay close to regulators as litigation continues in federal and state courts across the US.
Rush Street Interactive president and CFO Kyle Sauers said the company would not pursue prediction markets, describing sports event contracts as more noise for the industry. He said RSI intends to launch online casino operations in Maine and Alberta once those markets are live.
Reportedly, House Bill 2711 was introduced in Pennsylvania on 22 July by Representative Tarik Khan. The measure, backed by more than 20 co-sponsors, would regulate prediction markets instead of prohibiting them.
It was reported that Pennsylvania legislators were considering a state framework for prediction market platforms. The proposal would regulate platforms such as Kalshi and Polymarket without prohibiting sports contracts.
It was reported that Representative Tarik Khan introduced a bill to regulate prediction markets in Pennsylvania. The proposal creates a framework for platforms including Kalshi and Polymarket rather than banning them.