Date Published: November 21, 2025, 01:10h.
Last Updated: November 21, 2025, 01:41h.
- Michael Selig’s potential leadership at CFTC nearing full Senate vote
- Selig asserts he will rely on judicial guidance regarding prediction markets
- California tribal casino leader deems prediction markets detrimental to tribal sovereignty
Michael Selig’s nomination to helm the Commodities Futures Trading Commission (CFTC) advanced Thursday through the Senate Agriculture Committee, paving the way for a complete chamber vote. Prior to this vote, a leader within California’s tribal casino sector is urging Selig to exercise caution towards prediction markets.
James Siva, leader of the California Nations Indian Gaming Association (CNIGA), expressed that he and tribal casino operators in California are willing to cooperate with Selig. However, he reiterated that there was a strong rejection by voters to legalize online sports betting in the state.
“Californians have decisively rejected the legalization of online gambling, yet numerous prediction market firms are promoting their products as lawful sports betting within the state,” stated Siva. “These offerings contravene federal, state, and tribal legislation, as well as violating the CFTC’s regulations, and the agency has not acted to curtail these unlawful operations.”
Selig is set to fill the role left by Brian Quintenz as President Trump’s nominee to oversee the CFTC, the federal authority governing derivatives exchanges including prediction markets.
Selig Promises to Adhere to Court Rulings on Prediction Markets
During his testimony before the Senate Agriculture Committee, Selig indicated that he would allow judicial rulings to guide his approach to prediction markets, but this may not satisfy tribal gaming interests that argue these contracts signify an unauthorized expansion of gaming.
In significant states like California and Florida, expanded gaming offerings are conducted through tribes due to exclusive compacts with state governments. Some tribes argue that prediction markets bypass these agreements, as companies providing event contracts leverage loopholes to classify sports derivatives as distinct from conventional sports wagers.
Siva noted, “Currently, prediction market operators are capitalizing on a regulatory void to promote a widespread, covert expansion of gambling across the nation, irrespective of existing federal, state, and tribal regulations.” He advised, “Mr. Selig should begin by consulting the U.S. District Court for the District of Columbia, which determined in Kalshi v. CFTC that ‘gaming’ pertains to sporting events.”
California stands to be a crucial battleground in the discourse surrounding prediction markets, as it remains the most sought-after state by sports book operators who have yet to establish a foothold. These operators perceive prediction markets as a potential workaround, an avenue already utilized by firms like Kalshi.
In contrast, tribal leaders dominating California’s multi-billion-dollar casino sector perceive prediction markets as a significant threat to their sovereignty and the economic advantages they provide to local communities.
Siva Calls for Selig to Eliminate Sports Event Contracts
Siva’s stance is unequivocal: he expects Selig, upon confirmation, to engage with tribes holding gaming interests to eradicate sports event contracts and any derivatives resembling casino games.
“Neglecting to address this issue jeopardizes decades of protections for sports integrity, consumer safety, tribal sovereignty, and the authority of states,” concluded the CNIGA leader. “We urge the CFTC to honor the established jurisdiction of state and tribal governments regarding gaming activities occurring within their realms.”