Crypto
Home›Crypto›Regulation›CME CEO warns prediction markets could be vulnerable t…
CME CEO warns prediction markets could be vulnerable to manipulation
Speaking at a CFTC Innovation Advisory Committee meeting, Terrence Duffy said CME has traded more than 100 million event contracts since last year and pressed regulators to tighten oversight of self-certified markets.
The Block reports that CME CEO Terrence Duffy sparred with CFTC Chair Michael Selig and Kalshi Chief Operating Officer Luana Lopes Lara over how prediction markets should be regulated, during a CFTC Innovation Advisory Committee meeting.
Duffy raised concerns that some prediction market contracts are vulnerable to manipulation, arguing that the number of contracts that have been self-certified could increase the risk. He specifically cited event contracts tied to what President Donald Trump would say during his State of the Union address and contracts tied to Venezuelan President Nicolás Maduro being ousted.
According to The Block, Duffy previously called for greater oversight, noting that CME has embraced prediction markets and that its derivatives exchange has launched more than 100 million event contracts since launching them last year.
Duffy also linked the issue to a broader U.S. policy goal, arguing that listing markets that could be manipulated could undermine efforts to make the United States the “crypto capital of the world.”