The U.S. Commodity Futures Trading Commission (CFTC) has filed a federal lawsuit against New Mexico officials, including the Governor and Attorney General, to assert federal jurisdiction over prediction markets. The lawsuit, filed on June 13, aims to prevent New Mexico from enforcing its gaming laws on CFTC-registered contract markets. This legal action follows New Mexico's lawsuit against prediction market platform Kalshi, accusing it of unauthorized sports betting and allowing underage access.
The CFTC argues that the contracts in question are classified as "swaps" under federal commodity law, which falls under its exclusive jurisdiction. New Mexico is the eighth state to face such a lawsuit from the CFTC, with previous cases involving Rhode Island, Wisconsin, Minnesota, New York, Arizona, Connecticut, and Illinois.
CFTC Sues New Mexico Over Prediction Market Jurisdiction
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