CFTC issues second warning to prediction markets over generic contract certifications

On July 24, 2026 the U.S. Commodity Futures Trading Commission (CFTC) released a second advisory this year urging designated contract markets that operate prediction markets to stop filing broad, template‑style self‑certifications for event contracts. The agency said these “cookie‑cutter” filings, which bundle multiple event variants into a single document, prevent regulators from assessing whether each contract complies with the Commodity Exchange Act and CFTC rules.

The CFTC required platforms to provide detailed terms, settlement methodology, and a concise compliance analysis for every individual contract. It cited platforms such as Kalshi, Coinbase, Polymarket, Crypto.com and Kraken as examples of firms that have used generic certifications. The guidance follows a similar warning issued in March and coincides with the CFTC’s broader proposal to refine its public‑interest framework for event contracts, with a comment deadline of July 27.

The regulator emphasized the risk of market manipulation, especially in sports contracts, and reiterated that each contract must be reviewed separately to ensure adequate oversight as prediction‑market trading volumes continue to rise.