US CFTC Chairman: State-level lawsuits related to prediction markets may ultimately be appealed to the Supreme Court

Odaily Planet Daily reported that U.S. Commodity Futures Trading Commission Chairman Michael Selig stated at the Consensus 2026 conference that the CFTC has initiated lawsuits against regulatory agencies in approximately five to six states, including Arizona, Connecticut, Illinois, and New York, with the core dispute being the jurisdiction over prediction market regulation. He indicated that if there is a divergence in rulings among different circuit courts, the relevant cases may ultimately be appealed to the U.S. Supreme Court.

Michael Selig stated that the Commodity Exchange Act has clearly granted the CFTC exclusive regulatory authority over commodity derivatives. Prediction market event contracts, being financial derivatives traded on federally regulated exchanges, are fundamentally different from traditional entertainment venue models. He believes that some state-level regulatory agencies are attempting to challenge the effectiveness of federal law through local regulations, and the CFTC will continue to file lawsuits against such actions.