CFTC enforcement director distinguishes exchange rules from federal insider-trading law
CFTC enforcement director David Miller said at a New York conference that trading on information about one’s own involvement in an event would not necessarily breach federal insider-trading law, though it could violate an exchange’s rules. He said misuse of confidential information may breach a duty, while false statements intended to influence contract prices could amount to market manipulation.
Miller’s remarks clarify the distinction between exchange restrictions and federal law for prediction-market participants.