Svmuu reported that Andreessen Horowitz (a16z) stated in a comment letter to the CFTC that state-level regulatory measures for prediction markets are creating "barriers to fair access" and could undermine market liquidity.
a16z pointed out that requiring platforms to restrict user access on a state-by-state basis would affect market uniformity, conflicting with the principle of fair access at the federal level. Additionally, frequent bans and enforcement actions could also compress overall trading depth.
The institution emphasized that prediction markets play a significant role in information discovery and probability pricing, supporting unified federal regulation. The CFTC, meanwhile, maintains that the relevant contracts fall under its exclusive regulatory scope.