Gary Gensler Supports States in Prediction Market Regulation Dispute
- Gary Gensler, former SEC chair, filed an amicus brief with the Sixth Circuit Court of Appeals supporting state jurisdiction over prediction markets.
- Gensler argues that the Dodd-Frank Act of 2010 does not grant the CFTC authority over nationwide sports wagering.
- Thirty Native American tribes and eleven tribal associations have filed an amicus curiae brief supporting Ohio against Kalshi’s federal jurisdiction claim.
- Sixteen states are involved in legal proceedings with prediction market platforms, with Minnesota banning them outright.
- The CFTC has proposed a new rule allowing sports outcome betting while prohibiting contracts tied to war and other sensitive events.
Gary Gensler has taken a stand against the CFTC’s push for exclusive federal jurisdiction over prediction markets, aligning with state authorities and gaming groups challenging this stance. His involvement highlights ongoing disputes between federal and state control over gambling regulations.
The legal battle underscores the tension between federal oversight and state autonomy in regulating markets, with significant implications for how gambling laws are enforced across the U.S. (Source)
