President Trump’s CFTC chairman nominee, Michael Selig, testified before the Senate Agriculture Committee. The CFTC filed an amicus brief in federal court to assert its authority over prediction markets, as states challenge the legality of platforms like Kalshi and Polymarket. Selig vows to defend the CFTC’s jurisdiction in court.

Selig argued in a Wall Street Journal op-ed that prediction markets fall under CFTC authority and serve economic functions as swaps, not gambling. He plans to draft new rules for prediction markets and address jurisdictional questions in federal and circuit court cases. Critics claim the markets are akin to gambling, while Selig defends their legitimacy.

In a video posted to X, Selig emphasized the importance of prediction markets and vowed to defend their place in America. He stated that the CFTC will file an amicus brief in support of Crypto.com in its dispute with the Nevada Gaming Control Board. CNBC could not independently verify if the brief had been filed.

The CFTC’s move to assert its authority over prediction markets comes amid legal challenges against platforms like Kalshi and Polymarket. Critics argue the platforms promote gambling, while supporters believe they operate within federal regulations. Selig aims to clarify rules governing prediction markets and reinforce the CFTC’s oversight in court battles.

Read more at CNBC: CFTC defends prediction market enforcement as states challenge platforms