Gensler tells 6th Circ. 'sports bets aren't swaps'
Gensler told the 6th Circ. that sports bets are not swaps, placing the law at the center of sprawling litigation between states that contend sports-focused event contracts offend their gambling laws. The filing comes as prediction market platforms expand into sports contracts and states push back under their own gaming statutes.
The court's read on whether sports event contracts are swaps under federal law will shape whether state gambling laws can block regulated prediction markets from offering sports contracts.
Places Gensler alongside the CFTC and state attorneys general in Rhode Island, Minnesota, New Mexico, and Wisconsin in a multi-front jurisdictional fight over whether CFTC-registered platforms can legally offer sports contracts under state gambling laws.