The U.S. Commodity Futures Trading Commission (CFTC) has submitted two related rules to the White House Office of Management and Budget (OMB) for review. One rule aims to include event contracts within the regulatory definition of swaps, while the other asserts that these contracts are not related to gambling. This move represents a targeted stance by the CFTC amid ongoing legal battles with various states regarding the nature of prediction market products. These rules, submitted on September 28, if approved, could weaken the basis for lawsuits filed by states against prediction market companies such as Kalshi, Polymarket, Crypto.com, and Robinhood, which are accused of operating illegal gambling platforms within their states.