A broad coalition of agricultural organizations is urging US regulators to investigate the growing influence of prediction markets on commodity trading, warning that emerging financial products may upend traditional risk management strategies employed by farmers and producers.
A coalition of agricultural groups in the US is requesting regulators to look into the impact of prediction markets on commodity trading. They are concerned that these new financial products could disrupt the conventional risk management methods used by farmers and producers.
The National Pork Producers are at the forefront of the efforts to push for a review by the CFTC on the risks associated with prediction markets.
