Michigan Judge Rules Sports Prediction Market Wagers Are Not CFTC Swaps as Polymarket Appeal Advances

A federal judge in Michigan ruled that sports-related prediction market wagers are not “swaps” under the Commodity Futures Trading Commission’s jurisdiction, while declining to stop Michigan regulators from restricting Polymarket’s sports event contracts. According to NS3.AI, the court denied Polymarket’s request for an order that would block state regulators from taking action against the platform’s sports-related offerings. The dispute is now headed to the Sixth Circuit Court of Appeals and could ultimately reach the U.S. Supreme Court.