By SectorWire desk ·
Nine Democratic senators asked the CFTC to reject event contracts linked to wildfires. The group, led by Senator Jeff Merkley, warned that such products could financially incentivise arson.
The senators seek to prevent wildfire-linked contracts from entering prediction markets.
Request a correction / right of reply
Linked through shared companies, regulators and people, or one step further through the graph.
The injunction request contests Tennessee’s application of wagering laws to Underdog’s event-contract exchange.
The dispute concerns whether states can apply gambling rules to sports-event contracts offered by federally regulated exchanges.
Dreitzer’s comments dispute the distinction used to separate sports-event contracts from conventional betting.
The dispute could affect whether prediction market operators face state gambling laws alongside federal oversight.
The outcome could determine whether prediction market operators can continue serving the US market under federal or state rules.
Kalshi’s proposed rule would allow financial penalties, suspension or account deactivation for users harassing athletes or third parties over trading.