The US CFTC has filed a lawsuit against New York State for attempting to apply gambling laws to prediction markets.

CoinFeed reported on April 25 that, according to Cointelegraph, the U.S. Commodity Futures Trading Commission (CFTC) has filed a lawsuit against New York State seeking to block the state's enforcement of gambling laws on prediction platforms, arguing that the federal regulator has exclusive jurisdiction over event-based contracts. In its complaint filed in the U.S. District Court for the Southern District of New York, the CFTC argues that federal law grants it exclusive jurisdiction over these markets and requests a declaratory judgment and a permanent injunction to prevent New York State's enforcement actions. The CFTC chairman stated, "CFTC-registered exchanges are facing a barrage of state-level lawsuits attempting to restrict Americans' access to event-based contracts and undermine the CFTC's exclusive regulatory authority over prediction markets."