US prediction-market jurisdiction dispute advances through courts
A discussion on US prediction markets examined the jurisdictional dispute between state regulators and the Commodity Futures Trading Commission as cases proceed through several circuit courts. Milbank partner Joshua Sterling argued that the Commodity Exchange Act gives the CFTC exclusive authority over these instruments; a New Jersey dispute could reach the Supreme Court by September. DraftKings and FanDuel have launched prediction products, while BetMGM has not entered the segment, the discussion said.
Court decisions could affect whether prediction products fall under federal or state oversight and shape operators’ market choices.