Dorothy DeWitt, a former CFTC market oversight official, said the framework "provides clarity as to what types of contracts are unlikely to be readily susceptible to manipulation."

The proposed rules will target controversial bets on issues like war and other events, which may be prone to market manipulation or insider trading.

The CFTC proposes new rules for prediction markets, reversing a 2024 ban on sports contracts and consolidating federal oversight of platforms like Kalshi

The CFTC’s proposals don’t apply to most of the bets currently being offered on U.S. platforms. Experts still say they’re a step forward.