The US Commodity Futures Trading Commission is treating improper use of confidential information in prediction markets as an enforcement priority. Division of Enforcement director David Miller discussed that focus at the Next Predict Summit in New York last week, according to CDC Gaming.
Miller said the division's wider mandate remains focused on fraud, abuse and manipulation. The position extends an approach he outlined in a March 31 CFTC speech, when he said insider trading is unlawful under the Commodity Exchange Act across CFTC-regulated markets, including event contracts.
The agency has already brought cases involving alleged trading on nonpublic information. Those proceedings remain unresolved, and the defendants contest the allegations. The enforcement message therefore establishes a regulatory priority rather than a finding about any open matter.
Reuters separately reported on October 22 that the CFTC was monitoring potentially improper prediction-market activity, including election contracts. The agency's scrutiny is significant as event-contract platforms expand beyond financial and economic outcomes into politics and other real-world questions.
