U.S. Senators Urge CFTC to Ban Prediction Market Contracts Linked to Death

Senators Call on Regulators to Act

Six U.S. Democratic Senators have sent a letter to CFTC Chair Michael Selig urging a clear ban on prediction market contracts tied to personal deaths. They argue that such contracts pose ethical concerns and could incentivize harm, threatening public safety and national security.

Controversial Contracts Cited

The letter references several controversial contracts, including those related to the fate of Venezuelan President and geopolitical events such as the Russia-Ukraine war. The lawmakers warn that these instruments could be exploited for dangerous purposes.

CFTC Has Not Yet Responded

While the CFTC recently asserted its exclusive jurisdiction over U.S. commodity derivatives in a separate case, it has not yet publicly responded to the senators’ request. Market observers are watching closely for any regulatory developments.