- The CFTC is questioning whether or not Crypto.com and Kalshi meet derivatives rules
- In December, Crypto.com’s CEO mentioned its derivatives buying and selling platform was the “first regulated platform in the US”
- Robinhood launched its Tremendous Bowl occasion contracts on Monday
Crypto.com and prediction market Kalshi have been requested to supply extra info to the US Commodity Futures Trading Fee (CFTC) to find out if their Tremendous Bowl occasion contracts adjust to derivatives rules.
In December 2024, Crypto.com launched its derivatives buying and selling platform, enabling customers to put bets on the end result of sports activities occasions, together with the Tremendous Bowl LIX on February 9, 2025, between reigning champions Kansas Metropolis Chiefs and the Philadelphia Eagles.
In an announcement, Kris Marszalek, co-founder and CEO of Crypto.com, mentioned it was the “first regulated platform in the US to offer it to our users.”
Kalshi launched its prediction platform days after President Donald Trump’s inauguration in January. It launched its Kansas Metropolis vs Philadelphia Soccer prediction on January 23.
In a report from Bloomberg, the CFTC mentioned: “We are continuing to review the contracts in accordance with our regulations.”
Bloomberg beforehand reported, in January, {that a} five-member group of CFTC commissioners had determined to vote on a 90-day assessment interval for contracts. The assessment would lengthen previous this Sunday’s Tremendous Bowl recreation.
The CFTC is predicted to vote by mid-April on whether or not to bar occasion contracts or problem a brand new ruling.
Robinhood enters the sphere
The CFTC’s measures come as Robinhood introduced on Monday that it was launching its occasion contracts and letting customers vote on the sport’s end result. This shall be carried out by Kalshi’s alternate.
Primarily targeted on its stock-trading background, Robinhood’s growth into occasion contracts is one other means for the platform to have interaction with customers eager to get into the market.