U.S. President Donald Trump stated it was “critically essential” that the CFTC hold “unique authority” over prediction markets, echoing CFTC Chair Michael Selig in a publish on Fact Social, his social media platform, late Tuesday afternoon.
“Underneath my management, we’re setting ‘guidelines of the highway’ which are the Gold Normal for the States,” he posted. “We can not have SCUM like Chris Christie, Letitia James, Tim Walz, and JB Pritzker setting the principles!”
Former New Jersey Governor Chris Christie has defended states’ authority to control playing merchandise, which he likened to prediction markets, on numerous events.
New York Legal professional Common Letitia James filed lawsuits equally alleging that some prediction markets are violating state playing legal guidelines; Illinois, headed by Governor J.B. Pritzker, despatched a cease-and-desist; and Minnesota Governor Tim Walz final week signed a legislation implementing felony penalties for working prediction markets.
Pritzker responded in a publish on social media platform Bluesky, saying Illinois had taken “motion to stop and ban insider buying and selling with on-line prediction markets.”
“Essentially the most corrupt President in our nation’s historical past needs to ensure states like ours can’t regulate prediction markets so his household and administration can hold profiting,” he posted.
The CFTC, led by Selig as the only real commissioner on the company, has filed lawsuits and amicus briefs in opposition to numerous states, together with those tied to the officers talked about by Trump, defending its jurisdiction over prediction markets.
On the coronary heart of the authorized dispute is the query of whether or not prediction market contracts tied to sports activities and leisure are actually simply playing merchandise dressed up as a novel monetary instrument. The CFTC has taken the place that each one prediction market contracts supplied by regulated designated contracts markets (DCMs) fall below its jurisdiction, and that states do not need the best to infringe on that.
States, in the meantime, have taken the place that these contracts are literally playing, and subsequently needs to be supervised by state gaming regulators or banned totally in states that do not permit such merchandise.
Court docket circumstances have gone as much as the federal appellate court docket stage, and the problem is prone to seem earlier than the U.S. Supreme Court docket in some unspecified time in the future.
Past states
“Different International locations are after this new type of Monetary Market, and we need to stay on the high,” Trump’s publish continued.
Quite a lot of international locations have not too long ago banned prediction markets from working inside their borders, together with Indonesia, Spain and India up to now week.
The U.S. authorities can be probing prediction markets, with a Home of Representatives committee investigation being confirmed final week.
Over the weekend, The New York Occasions reported that the CFTC, below former Performing Chairman Caroline Pham, sidelined officers on the company who raised issues about approving crypto and different corporations — particularly with ties to Trump’s household companies — that had utilized for DCM approvals.
Neither the CFTC nor a spokesperson for Moonpay, Pham’s present agency, instantly returned a request for touch upon the article.
Trump’s household has ties to numerous prediction market suppliers, with Donald Trump Jr., one of many president’s sons, appearing as an adviser to each Polymarket and Kalshi. Gemini, the crypto trade launched by Cameron and Tyler Winklevoss, each public Trump supporters, additionally launched a prediction market platform and filed to self-certify parlay-type contracts late final week.
Trump additionally referred to his marketing campaign path pledge to make the U.S. the “crypto capital” in his publish on Wednesday.
“Likewise, and much more importantly, the place we’re at the moment the Crypto (Bitcoin, and so forth.) Capital of the World, different International locations are attempting diligently to interchange us in that capability, however we received’t let that occur,” he posted.
UPDATE (Could 26, 2026, 21:56 UTC): Provides hyperlinks all through.
UPDATE (Could 26, 2026, 23:53 UTC): Provides J.B. Pritzker publish.
