Law of Code #172 - Masterclass on the legal side of prediction markets with Samir Patel
How do prediction markets actually work, and why are state gaming regulators and the CFTC battling over who has jurisdiction to regulate?
Samir Patel is an attorney at Holland & Knight, where he focuses on gambling law, prediction markets, and the intersection of crypto, derivatives, and state gaming regulation.
Timestamps:
➡️ 1:02 — What prediction markets are and how binary contracts work
➡️ 2:51 — Prediction markets vs. sports gambling: what’s legally different?
➡️ 4:02 — Are prediction markets actually “on-chain”?
➡️ 7:37 — The CFTC vs. state gaming regulators: who has jurisdiction?
➡️ 9:55 — Swaps, self-certification, and the Commodities Exchange Act
➡️ 12:06 — How courts are splitting on federal preemption
➡️ 14:39 — Why the CFTC’s silence matters more than the lawsuits themselves
➡️ 18:58 — DCMs vs. FCMs: mapping the regulatory plumbing
➡️ 22:00 — Prediction markets as information tools, not just bets
➡️ 23:30 — What this litigation could mean for crypto and DeFi governance
Sponsor: This episode is brought to you by the Decentralization Research Center (DRC), a nonprofit think tank advocating for decentralization in emerging technologies. Learn more at thedrcenter.org.
Resources:
📓 Commodity Exchange Act (CEA)
📄 CFTC Staff Advisory Withdrawal of Prior Guidance on Events Contracts
Disclaimer: This podcast is for informational and educational purposes only and does not constitute legal or investment advice. Views expressed by the guest are their own and do not necessarily reflect those of their employers. Listening to this podcast does not create an attorney-client relationship.