CFTC Chairman Michael Selig says event contracts inform the public and that the CFTC will defend its exclusive jurisdiction
Michael S. SeligChairman of the Commodity Futures Trading Commission, in a CFTC press release
CFTC Chairman Michael Selig says event contracts serve hedging and investment purposes and give the public information about the outcome of future events, that Congress made the CFTC the sole regulator of these markets, and that the commission will defend its exclusive jurisdiction.
“Event contracts do not just serve hedging and investment purposes—they also provide the public with information about the outcome of future events. Congress entrusted the CFTC to be the federal regulator with sole responsibility to oversee these markets. As I’ve said before, the CFTC has the expertise and responsibility to defend its exclusive jurisdiction over commodity derivatives, and that’s exactly what we’ll do.”
Official statement
Where this statement fits
Utah charges Kalshi and its founders with felony gambling promotion; Kalshi calls it 'a crazy overreach'
On October 28, 2026, the Utah Attorney General's Office filed criminal charges in state court against the prediction market KalshiEX LLC and its co-founders, chief executive Tarek Mansour and chief operating officer Luana Lopes Lara, alleging that Kalshi provided online gambling to an undercover agent in Utah. Attorney General Derek Brown says a federal court has already ruled that Utah's gambling laws apply to Kalshi, a ruling Kalshi has appealed. Kalshi calls the case 'a crazy overreach' and says Utah is playing politics. The Commodity Futures Trading Commission, which sued Utah two days earlier, says federal law preempts state gambling law for event contracts on the exchanges it regulates.
Source and context
Official statement
About this source
CFTC press release announcing the federal lawsuit against Utah, with a statement from CFTC Chairman Michael S. Selig. It says the suit follows Utah's civil enforcement actions in state court against CFTC-regulated markets and that the commission has started proceedings against nine other states.
Archived copy (opens in a new tab)Before the quotation
The CFTC announced on October 27 that it had sued Utah to block the state's efforts to shut down CFTC-registered contract markets using state laws, following Utah's civil enforcement actions in state court. Selig opened his statement by saying that Utah seeks to shut down prediction markets across a wide variety of markets.
After the quotation
The release says that if a state challenges the lawful operation of a derivatives exchange, the commission will protect federal sovereign interests, and that the CFTC has started legal proceedings against nine other states.
How this statement is classified
The label describes this statement's response within the context above.
Why this label?
Relative to Kalshi's offering of event contracts, Selig defends their public information, hedging and investment functions. His jurisdiction argument supplies the legal basis for federal oversight.
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- People and groups discussed
- Derek Brown
More from this case
Read the full caseKalshi calls Utah's criminal case 'a crazy overreach' and says the state is playing politics
KalshiEX LLC
“This is a crazy overreach; Utah is clearly playing politics. We look forward to putting a stop to this in court, just like we did in Arizona.”Read statement
Derek Brown says Kalshi kept taking bets from Utahns after a federal court ruled that Utah's gambling laws apply
“Gambling is illegal in Utah, whether you place the bet, run the game, or promote it. Calling it a ‘prediction market’ doesn’t change what it is, and being federally registered doesn’t put a company above the law. A federal court has already ruled that Utah’s gambling laws apply to Kalshi. Kalshi kept taking bets from Utahns anyway. That is illegal, and we’re putting a stop to it”Read statement
CFTC complaint says that, for Congress, transactions regulated under the Commodity Exchange Act are not gambling
Commodity Futures Trading Commission
“For Congress, then, CEA-regulated transactions are not gambling.”Read statement
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The Dispute Index. "CFTC Chairman Michael Selig says event contracts inform the public and that the CFTC will defend its exclusive jurisdiction". First published: 2026-10-30. Last updated: 2026-10-30. https://disputeindex.com/events/7241-cftc-chairman-michael-selig-says-event-contracts-serve