Illinois’ Governor and Attorney General have been engaged in a fight against crypto-based prediction markets for some time. Before Trump took office, the CFTC was also fighting the prediction markets. But Trump’s takeover changed things. Now the exact opposite of what used to happen is happening.
Cryptocurrencies breaking news
CTFC and DOJ, crypto based prediction markets He filed a lawsuit against the State of Illinois, its Governor and its Attorney General, on the grounds that they were trying to regulate it, and stated that they did not have authority on this matter. Illinois Attorney General Kwame Raoul Kalshi polymarket He argued that the activities of prediction market platforms such as in the state were “illegal gambling”. As a matter of fact, when you look at the functioning of this gambling and system in many parts of the world, you see that it is gambling.
State authorities sent official warnings to these platforms, stating that they should stop providing services to Illinois residents, otherwise they would face legal sanctions. Now, at this point, CFTC and DOJ have launched a legal war against the authorities who wage war on the platforms. Illinois says they are allowed to do this, citing age-old anti-gambling laws such as the 1819 “Loss Recovery Act” and modern state gambling regulations, but the CFTC says “you are overstepping your authority.”
CFTC Chairman Michael Selig argues that transactions made on these platforms (for example, contracts on election results or sports scores) are actually “event contracts” and that they are federally regulated financial derivative instruments, not gambling.
