The regulator is expanding the definition of “swap” to include event contracts. In addition, the agency is excluding casino-style gambling from that definition. At the same time, the CFTC continues to maintain that federal law grants it exclusive authority to regulate swaps. This rule applies to exchanges under its supervision, such as Polymarket and Kalshi.
The CFTC’s proposal on gambling and casinos is at the “interim final” stage. Accordingly, it will take effect immediately after review by the White House. However, this still leaves room for the new rules to be challenged in court later.