Former CFTC chair Gensler discussed prediction market regulation and tribal impact on Indiana Gaming
Former CFTC chairman Gary Gensler joined an Indiana Gaming Association webinar on Thursday to discuss prediction market regulation and its impact on federally recognized tribes. The New Normal series session addressed how the growing popularity of prediction markets is creating friction for states and tribal communities in the U.S. Gensler also discussed event contracts and the CFTC's history and responsibility of regulating event contract trading, including the controversial topic of sports event contracts. The webinar comes as the CFTC pursues multiple federal preemption lawsuits against states attempting to enforce gambling laws against CFTC-registered prediction market platforms.
Gensler's tribal-framing gives the CFTC's preemption argument cultural cover in states like Kentucky and New Mexico where tribal gaming compacts complicate state enforcement. Any judge weighing federal supremacy against state gambling claims now has a former chair's testimony that unregulated state action harms federally recognized communities.