Key facts
- The CFTC and NBA will share information related to prediction markets.
- The agreement aims to protect the integrity of professional basketball.
- Concerns include insider trading and market oversight.
- The memorandum was signed by CFTC Chairman Michael Selig and NBA Commissioner Adam Silver.
US regulators and the National Basketball Association have entered into a cooperative agreement concerning prediction markets, the Commodity Futures Trading Commission announced on Monday. The memorandum of understanding, signed by CFTC Chairman Michael Selig and NBA Commissioner Adam Silver, will facilitate the sharing of information relevant to the integrity of professional basketball, addressing concerns about insider trading and market oversight. This development follows recent sports betting scandals within the NBA and ongoing debates about the CFTC's asserted oversight of prediction markets, which some states argue should be subject to gambling laws.