May 1, 2008 could signal a turning point for the prediction markets industry.*
Yesterday, the US Commodity Futures Trading Commission (CFTC) issued a request for public comments as they mull over the legal and regulatory status of prediction markets.
I read the Concept Release in detail, and I am happy to report that it is a careful, thoughtful, even scholarly document that reflects a solid understanding of the goals of prediction markets, and that appears to signal a real willingness on the part of the CFTC to consider reasonable options and arguments.
In short, this development leaves the optimist in me dreaming of a day in the not so distant future when US companies can try out some truly innovative products.
Anyone who desires to see more prediction markets in the US, please let the CFTC know what you think!