CFTC proposes case-by-case review of event contracts under Rule 40.11
The CFTC has proposed changing its review process for certain event-based contracts under Rule 40.11, according to the report. The proposal would assess contracts individually, including those linked to military actions, terrorism, cyberattacks, sports injuries and officiating decisions, rather than banning whole categories. A public comment period is open.
Prediction-market operators may face individual scrutiny of contracts involving sensitive events and sports outcomes.