An interesting situation is developing with prediction markets in the USA. Selig from the CFTC seems seriously determined to fight against states that block these markets. This is already turning into a full-fledged legal war at the federal level.

What’s going on here: several states are trying to restrict or ban prediction markets within their territory, but the CFTC sees this as an obstacle to the development of financial innovations. Selig decided not just to criticize—he’s going to court. This is quite an aggressive move for a regulator.

Against the backdrop of all this political commotion ( especially considering that even Trump’s son sometimes comments on cryptocurrency issues ) it becomes clear that prediction markets are becoming more and more politicized. States don’t want to see them, federal agencies want to control them, and the crypto community watches as all of this unfolds.

It seems to me that this could be a turning point in how these markets will be regulated in the USA. If the CFTC wins, it will pave the way for more active development of prediction platforms. If not—expect even more pressure from the states.