White House reviews CFTC's plan to regulate prediction markets

The CFTC’s plan to establish exclusive regulatory authority over the rapidly growing prediction markets in the US is currently being examined by the President’s executive office, according to a notice posted on the Office of Information and Regulatory Affairs (OIRA)'s website.

However, the notice does not include details about what’s in the proposal.

The OMB received the proposed rule for scrutiny on May 26, the same day US President Donald Trump said that it is critically important that the CFTC maintains exclusive authority over prediction markets for the new form of financial market to thrive.

In February, CFTC chair Michael Selig reiterated the agency’s authority over US prediction markets, confirming that the watchdog filed an amicus brief with the Ninth Circuit Court to secure jurisdiction over burgeoning prediction markets.

The US futures and swaps watchdog in March opened a public consultation on prediction markets and issued new staff guidance to exchanges listing event contracts as activity in the sector accelerates.

Meanwhile, Gary Gensler, the former chair of both the CFTC and the Securities and Exchange Commission, told CNBC on Wednesday that despite the CFTC’s current claims, the agency is not authorised under the 2010 Dodd-Frank Act to regulate prediction markets, according to a press release from CNBC.

Gensler said that states, not the CFTC, should regulate those markets.

California-based blockchain intelligence platform TRM Labs in March said that the monthly trading volume of prediction markets, which hovered around $1.2 billion (£0.90 billion) last year, began to accelerate sharply in September 2025, and exceeded $20 billion per month in early 2026.