US Blockchain Group Steps Up Support for Prediction Markets, Launches Working Group

The US blockchain group The Digital Chamber is launching a working group to support the prediction market industry.

The Digital Chamber said on the 17th (local time) that it has formed a Prediction Markets Working Group. The Digital Chamber explained that the working group is “a dedicated organization created to advocate for the value of prediction markets and secure a modern, practical regulatory framework within the US financial system.”

With its launch, the working group also sent a letter to CFTC Chair Michael Selig. The Digital Chamber said that “for a long time, prediction market operators have been navigating a maze of regulatory uncertainty,” adding that it “urges the CFTC to move beyond ‘regulation by enforcement’ and begin a formal rulemaking process to strengthen a consistent federal framework.”

The working group plans to maintain ongoing communication with regulators including the CFTC, as well as with Congress, to help establish regulation for prediction markets.

Meanwhile, Chair Selig said on X that jurisdiction over US prediction markets lies with the CFTC. The remarks are seen as taking into account lawsuits filed by some state governments against prediction-market platforms such as Kalshi. Chair Selig added that “those who seek to challenge the CFTC’s authority in this area (prediction markets) will meet in court,” signaling the possibility of legal action.