CFTC Proposes Revised Rule 40.11 and New Appendix F to Assess Event Contracts

According to the U.S. Commodity Futures Trading Commission (CFTC), the agency proposed to revise CFTC Rule 40.11 and add Appendix F to establish a structured assessment framework for event contracts, with a 90-day public comment period. The framework aims to evaluate whether event contracts involve prohibited activities listed in the Commodity Exchange Act, such as terrorism, assassination, war, gambling, or violations of federal or state law, and determine if they are contrary to the public interest. The proposal clarifies key legal terms including "involves" and "gambling."
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