CFTC sues Minnesota over prediction market ban

The U.S. Commodity Futures Trading Commission (CFTC) and the Department of Justice have sued the state of Minnesota, asserting exclusive jurisdiction over the supervision of prediction markets. According to Cointelegraph, the lawsuit was filed less than 24 hours after Minnesota Governor Walz signed bill SF 4760. The suit alleges that the state is illegally attempting to regulate federally governed derivatives markets, which fall under the CFTC's exclusive authority. Minnesota is scheduled to ban prediction markets, which allow betting on everything from sports outcomes and weather to corporate valuations and government actions, starting Aug. 1.