Seven Democratic House representatives pressed CFTC Chairman Rostin Behnam on troubling inaction regarding insider trading in prediction markets. While acknowledging the commission's jurisdiction over these platforms, lawmakers expressed concern about insufficient safeguards against market manipulation by insiders with access to privileged information.

The questioning reflects growing interest in prediction markets that allow betting on political outcomes and economic indicators. Critics argue that without proper oversight, these markets could enable those with advance knowledge to profit unfairly. Behnam defended the commission's approach, noting existing regulations provide frameworks for addressing fraud, though he acknowledged challenges in the rapidly evolving prediction market landscape.