CFTC and NHL Sign Agreement on Prediction Market Oversight
The Commodity Futures Trading Commission (CFTC) and the NHL have signed a Memorandum of Understanding (MOU) that they say will improve the oversight of prediction markets linked to hockey events.
Announced on May 21, the agreement establishes a framework for cooperation between the federal regulator and the league to help monitor event contracts offered on CFTC-regulated exchanges. The two organizations said they will share information and coordinate on issues related to market integrity and potential misconduct.
Under the arrangement, both the CFTC and NHL have appointed representatives who will communicate regularly and exchange information confidentially when necessary. The MOU is intended to support efforts to detect and prevent insider trading, fraud, and other activities that could undermine the fairness of prediction markets associated with NHL games and events.
“I’m proud the CFTC and NHL have officially signed an MOU, furthering the agency’s commitment to improve data sharing between professional sports leagues and the Commission,” said CFTC Chairman Michael Selig. “This agreement is another step toward safeguarding the integrity of sports and protecting market participants in prediction markets from insider trading, fraud, and other abuses. I applaud NHL Commissioner Bettman for collaborating with the CFTC and taking a leading role in protecting the integrity of professional hockey in our markets.”
