Idaho Joins Coalition Fighting CFTC Sports Betting Move
Highlights
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Idaho joins 39-State push against CFTC expansion on sports betting
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The coalition supports Nevada’s stance that the regulation of gambling has been a state-level responsibility.
Idaho Attorney General Raúl Labrador has joined a coalition of 39 states challenging the Commodity Futures Trading Commission (CFTC) in an attempt to assert authority over sports betting. The objective of this coalition is that the state should retain its regulatory authority over sports betting.
The issue arises at a time when the agency’s position on prediction markets and event contracts remains unclear. Historically, the CFTC has declined to endorse such contracts. However, under the new leadership, there seems to be a different narrative that these contracts qualify as financial instruments called “swaps”.
” States like Idaho that choose to ban sports betting would be prevented from enforcing those bans under the CFTC’s theory,” said Attorney General Labrador.
He further added that “An unelected federal agency claims it discovered hidden authority in fifteen-year-old financial reform laws to override state gambling laws nationwide,” he continued. “Congress never granted that power, and Idaho will continue defending our right to regulate gambling as we see fit.”
The case was appealed to the Ninth Circuit Court of Appeals after Nevada filed a lawsuit against Kalshi and similar platforms to enforce its state gambling laws. In response, the CFTC submitted a brief backing the platforms, maintaining that federal law should take precedence over state regulations.
Idaho and 38 other states unite in favour of Nevada’s argument that the state’s authority over its gambling regulations should prevail.
For the full news story, Read Here!
The issue arises at a time when the agency’s position on prediction markets and event contracts remains unclear. Historically, the CFTC has declined to endorse such contracts. However, under the new leadership, there seems to be a different narrative that these contracts qualify as financial instruments called “swaps”.
” States like Idaho that choose to ban sports betting would be prevented from enforcing those bans under the CFTC’s theory,” said Attorney General Labrador.
He further added that “An unelected federal agency claims it discovered hidden authority in fifteen-year-old financial reform laws to override state gambling laws nationwide,” he continued. “Congress never granted that power, and Idaho will continue defending our right to regulate gambling as we see fit.”
The case was appealed to the Ninth Circuit Court of Appeals after Nevada filed a lawsuit against Kalshi and similar platforms to enforce its state gambling laws. In response, the CFTC submitted a brief backing the platforms, maintaining that federal law should take precedence over state regulations.
Idaho and 38 other states unite in favour of Nevada’s argument that the state’s authority over its gambling regulations should prevail.
For the full news story, Read Here!
