SEC Chair Paul Atkins announced that fund sponsors have agreed to delay several event contract ETFs linked to prediction markets while the agency seeks public input. This move comes alongside a memorandum of understanding between the CFTC and the National Hockey League to monitor event contracts on hockey outcomes. The parallel actions from the SEC and CFTC demonstrate coordinated oversight of the rapidly growing prediction market sector. Since February, firms like Roundhill Investments, GraniteShares, and Bitwise’s PredictionShares have filed roughly two dozen event contract ETF proposals covering elections, recessions, and sports. The CFTC-NHL agreement formalizes information sharing and coordinated monitoring, building on existing licensing deals with Kalshi and Polymarket. Both agencies are led by appointees favoring innovation with guardrails. Retail investor access to event contract ETFs now depends on the public comment process. The prediction market has seen weekly open interest of $1.2 billion earlier this year, while ETF assets have tripled since 2019.

Key facts

• SEC delays event contract ETFs to seek public input on prediction markets.
• CFTC and NHL sign MOU for monitoring integrity of hockey event contracts.
• Since February, two dozen event contract ETF proposals have been filed.
• Prediction market weekly open interest reached $1.2 billion earlier this year.
• Both agencies favor innovation with guardrails under new leadership.