President Trump says CFTC should keep exclusive authority over prediction markets

He added that the United States is setting "rules of the road" that are the "Gold Standard for the States" and criticized several state officials for attempting to set those rules. The CFTC has filed lawsuits and amicus briefs against states that have moved to regulate or restrict prediction markets.

New York, Illinois, and Minnesota are among the states that have taken enforcement actions or passed laws targeting the platforms.

Legal dispute centers on jurisdiction The core disagreement is whether prediction market contracts tied to sports and entertainment qualify as financial instruments under federal oversight or as gambling products under state authority. The CFTC maintains that contracts offered by regulated designated contract markets fall under its jurisdiction.

States argue the contracts constitute gambling and should be supervised by state gaming regulators or banned where such products are prohibited. Several cases have reached the federal appellate level.

International and domestic developments Trump also stated that other countries are seeking to lead in this financial market and that the United States should remain at the top. Indonesia, Spain, and India have banned prediction markets in the past week.

A House of Representatives committee investigation into prediction markets was confirmed last week. The New York Times reported that the CFTC, under former Acting Chairman Caroline Pham, sidelined officials who raised concerns about approving companies with ties to Trump's family businesses.

Trump's family has ties to prediction market providers. Donald Trump Jr. serves as an adviser to Polymarket and Kalshi. Gemini launched a prediction market platform and filed to self-certify parlay-type contracts last week. Trump also referenced his campaign pledge to make the United States the "crypto capital" of the world, stating other countries are trying to replace that position.