PredictIt Gains CFTC Approval to Launch Regulated Exchange

PredictIt, a popular but previously unlicensed exchange for political junkies to put money on election outcomes, has won approval to expand operations as a regulated derivatives exchange, according to documents released Friday.

The Commodity Futures Trading Commission granted PredictIt’s operator, Aristotle, licenses to operate an exchange and clearinghouse, a key element for prediction markets exchanges to process trades. The company’s applications have been pending since late 2021.

The regulatory sign-offs add to a spate of CFTC approvals in recent months of new prediction market exchanges, swelling the ranks of regulated firms letting customers wager on everything from interest rate moves ...