CFTC Issues Warning on Prediction Market Mention Contracts

The Commodity Futures Trading Commission (CFTC) has issued a warning to prediction markets regarding mention contracts.

According to a recent report, the CFTC is cracking down on the use of mention contracts in prediction markets, which are platforms that allow users to bet on the outcome of future events.

The CFTC's warning comes after it was discovered that some prediction markets were allowing users to create mention contracts that referenced specific assets, such as Bitcoin or stablecoins.

The agency is concerned that these contracts could be used for manipulative purposes and is urging prediction markets to take steps to prevent their use.