The cryptocurrency space is a diverse one with different aspects and applications in society and human use. One common aspect widespread in the industry/space is cryptocurrency gambling.
There are several cryptos and political gambling platforms like; Predictit, which have established themselves operating globally. This platform allows crypto and political enthusiasts to lose or win more to their cryptocurrency portfolios.
CFTS Bans Predictit From Taking Bets On US Election
The United States Commodity Futures Trading Commission has just banned crypto, fiat gambling platform Predictit. The platform is being administered by the Victoria University of Wellington and Aristotle Inc. for academic purposes.
According to the CFTC release, the political gambling website violated the code of conduct given to the platform. The federal commission stated that it had revoked the operating license given to the company to allow users predict the country’s next president to win cash, fiats, and cryptocurrency.
Following the official release from the commission’s office, the legal power approved for the company has been seized till further notice. The crypto exchange turned political gambling platform was licensed by the commodity and futures trading commission in 2014.
According to the agreement binding the commission and platform, the gambling platform was to operate as a non-profit on the coast of the United States. The agreement also stated that Predictit should run as a small-size exchange, non-profit, market platform for education advantages in the country.
The Zealand-based University provided odds and statistics for the company while Aristotle Inc. operates the company. The commission alleged that the company has deviated from its initial educational aims, plans, and purpose.
Predictit Allowed To Operate Till February 2023
Finally, the Commodity Future and trading Commission announced that the crypto and fiat gambling companies will operate till February 2023. According to the legal agreement made by both parties in 2014, Predictit will seize operation in the United States in 2023.
In the release made by the commission, there were no details about enforcing the legal agreement. There are still speculations if the company would meet with the commission to renew its contracts and agreement.
If the announcement is enforced, likely, US citizens will not be able to stake bets on the upcoming 2024 presidential election. The action from the CTFC has shaken up the political gambling industry. Predectit is an important company in the prediction markets and one of the most widely used platforms.
Predictit allows United States citizens to bet on the candidates likely to win the presidential election. The gamblers could put their cryptocurrencies, fiats, and digital assets at stake.
Gamblers will purchase shares on the platform and predict a future outcome. If their predictions are accurate, they are entitled to 1% of their shares. The maximum stake on the platform is $850 in cash, crypto, or digital assets.