CFTC proposes defining sports and politics event contracts as swaps

The Commodity Futures Trading Commission (CFTC) has proposed a rule that would expressly define event contracts, including those based on sports, politics, culture and weather, as swaps. The US derivatives regulator published the Notice of Proposed Rulemaking on 9 October 2026 and is seeking public comment.

The details

• The proposal: it would further define the term “swap” to include event contracts. The CFTC says this would resolve any ambiguity about them.
• The CFTC’s position: the proposal notes that these contracts are financial instruments commonly known to the trade as swaps.
• Chairman’s statement: Michael S. Selig said the contracts are “commodity derivatives squarely within the CFTC’s regulatory remit” under the Commodity Exchange Act and within the agency’s exclusive jurisdiction.

Why it matters

The proposal covers sports event contracts by name, alongside politics, culture and weather. It would write the CFTC’s view that these contracts are swaps into the definition of the term. The release does not say how the proposal would affect state regulators or other bodies.

What’s next

Comments must be submitted in writing via Regulations.gov and received within 30 days of the notice’s publication in the Federal Register. The release does not give the Federal Register publication date, and does not say when a final rule might be adopted.