CFTC warns of manipulation risk in prediction-market contracts

The CFTC is warning that so-called 'mention markets,' which allow traders to wager on whether a person will say or do something, carry heightened manipulation risk.
The regulator has issued new guidance limiting the circumstances under which exchanges can list these contracts.
The guidance could affect how prediction-market platforms design and approve event contracts while regulators assess whether particular markets can be influenced by the people or entities whose behavior determines settlement.