The US Securities and Exchange Commission (SEC) has postponed decisions on a series of proposed prediction market exchange-traded funds (ETFs) while it examines how event-based contracts should fit within the existing ETF regulatory framework.
In a statement issued on May 20, SEC Chairman Paul Atkins mentioned that the agency intends to gather public feedback on the treatment of these innovative ETF products. The delay in decisions is to allow for a thorough review of how event-based contracts align with current ETF regulations.
