CFTC chairman: State governments lack authority to regulate prediction markets

U.S. Commodity Futures Trading Commission (CFTC) Chairman Michael Selig has reiterated that state governments do not have the authority to regulate prediction markets. According to CoinDesk, he emphasized that the regulatory authority for any product legally offered on a CFTC-regulated exchange, whether related to sports, politics, or anything else, lies with the commission. Selig added that state governments do not have the right to supplant derivatives regulations with gambling laws. The CFTC has previously filed lawsuits against Illinois, Arizona, and Connecticut concerning prediction markets.