Odaily Planet Daily reports: CFTC Chairman Mike Selig posted that, "Today, we are taking action to issue clear guidelines for prediction markets, helping trading platforms understand the CFTC’s expectations for listing new contracts. We are fulfilling our responsibility to ensure this asset class has transparent rules."
Mike Selig told CNBC, "Prediction markets are a rapidly evolving field, which is why we are taking action today to issue clear guidelines to assist our trading platforms. Our trading platforms will independently certify contracts and have their own rulebooks; they need to clearly understand the CFTC’s expectations. Therefore, we will publish these guidelines in clear, written form for platforms to follow. Additionally, later today we will issue a pre-notice of proposed rulemaking. We intend to establish clear rules of conduct for this new asset class and new market. It is critical to ensure that there is no manipulation, insider trading, or other abuses in the derivatives market. Therefore, we will take responsibility to ensure that these new asset classes have clear rules of conduct."