WASHINGTON, D.C.— Cantrell Dumas, Director of Derivatives Policy, issued the following statement in connection with the release of Better Markets’ new Fact Sheet, “Fumbling the Ball: Why the CFTC Should Sack Super Bowl Gambling Contracts.”

“Sports betting is nothing new, but a troubling trend is bringing sports gambling into federally regulated financial markets under the guise of derivatives trading. Kalshi has self-certified its Super Bowl event contracts, while Crypto.com’s proposal was stayed by the Commodity Futures Trading Commission (CFTC) – yet trading appears to be continuing. Robinhood also attempted to expand access by offering Super Bowl event contracts through Kalshi’s regulated exchange. Recognizing the risks of turning federally regulated markets into gambling platforms, the CFTC intervened, formally requesting Robinhood to withdraw access to these contracts.

“The Commodity Exchange Act prohibits gaming contracts that the CFTC deems contrary to the public interest, and these Super Bowl betting contracts fall squarely into that category. They are not financial instruments but wagers on a game’s outcome. Unlike traditional derivatives that help businesses manage risk, these serve no economic purpose and only encourage betting. Allowing these event contracts to continue would be nothing more than a backdoor attempt to legalize gambling in regulated financial markets.

“Gaming regulation involves specialized oversight that state agencies are best equipped to handle, not the CFTC. Expanding the CFTC’s role into gaming oversight would drain its already limited resources, divert attention from its core mission, and undermine state authority. Commissioner Caroline Pham, now Acting Chair, has emphasized that gambling regulation is a state responsibility, and federal intervention in this area would undermine long-standing principles of federalism. As Acting Chair, she must follow through on those comments and stop these sports event contracts before the CFTC oversteps its expertise and tries to play quarterback in gambling regulation.”

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