CFTC Sues New York Over Prediction Market Enforcement

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The Commodity Futures Trading Commission sued New York to stop the state from applying gambling laws to federally registered prediction market exchanges, making New York the fourth state in the agency’s current legal fight. The complaint seeks a declaratory judgment on federal preemption and a permanent injunction against state action. The agency also filed an amicus brief in Massachusetts as courts weigh whether federal derivatives law overrides state gambling claims.

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