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CFTC Opens the Door for Passive Software Providers in Derivatives Markets?
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September 28, 2026
CFTC Opens the Door for Passive Software Providers in Derivatives Markets?
By: John Mikuta
In a new no-action letter, the Commodity Futures Trading Commission (“CFTC”) recently opened the door for software developers building software to facilitate trading in derivatives and futures. The CFTC’s Market Participants Division (“MPD”) issued a no-action position providing that it would not recommend bringing an enforcement action against a “passive software provider,” or “PSP”, for failing to register as an introducing broker (“IB”) or associated person of an IB under the Commodity Exchange Act (“CEA”).[1] As background, the CEA requires any person who, for compensation or profit, “is engaged in soliciting and in accepting orders” for futures and swaps to register as an IB.[2] Individuals performing that work for an IB must also register themselves as associated persons.[3] The CFTC…
Trust the Future You Trade: Lessons About Prediction Market Surveillance from the DACOM Summit
September 23, 2026
Trust the Future You Trade: Lessons About Prediction Market Surveillance from the DACOM Summit
By: John Mikuta
Prediction markets are no longer a niche offering confined to a small corner of the internet. The rapid growth of prediction markets has launched them into the mainstream as a meaningful part of the financial ecosystem. But with that growth comes many of the same market integrity and compliance challenges that more traditional financial markets have long encountered. Prediction markets have faced public scrutiny over…
High Wire Act
September 22, 2026
High Wire Act
By: James Trusty
The federal statute known as the Wire Act (18 U.S.C. § 1084) has had a tumultuous history. For many years, the DOJ interpreted it to include restrictions on both sporting events and non-sporting contests. That changed dramatically in 2011, when the Office of Legal Counsel (“OLC”), responding to states seeking clarification before establishing state lotteries, published an analysis of the Wire Act. After a thorough…
“The Times They Are A Changin’” For New Jersey Gaming
January 26, 2016
“The Times They Are A Changin’” For New Jersey Gaming
By: Ifrah Law
As the saying goes, “What doesn’t kill you makes you stronger.” It’s no secret that Atlantic City has faced its share of troubles. Gaming statewide continues to face transition, but after the dust settles, gaming in New Jersey, and even in struggling Atlantic City, should emerge stronger than ever. Following is the state of gaming in New Jersey as we enter 2016. Sports Betting En…
In 2016- Who Will (Finally) Say Yes To Regulated Online Gaming?
January 20, 2016
In 2016- Who Will (Finally) Say Yes To Regulated Online Gaming?
By: Ifrah Law
*This article first appeared in the January 2016 issue of eGR North America Magazine Pennsylvania is the most likely, and has been making slow but relatively steady progress since it commissioned a study into online gaming back in 2014. Since then, several bills have been introduced. Efforts have stalled, but not as in other jurisdictions where delays are based on moral outrage, a lack of political…
Why Can’t I Buy A Powerball Ticket Online?
January 14, 2016
Why Can’t I Buy A Powerball Ticket Online?
By: Jeff Ifrah
As a gaming lawyer, I get asked a lot of questions about what is legal and what is not legal. A lot of folks end conversations with me by scratching their heads and saying “that doesn’t make sense at all.” The most recent head scratcher? A lot of online sites recently offered to sell Powerball tickets to out-of-state residents. Is that legal? The answer unfortunately…
The Ongoing Legal Saga Between New York and Daily Fantasy Sports
December 14, 2015
The Ongoing Legal Saga Between New York and Daily Fantasy Sports
By: Jeff Ifrah
Christmas didn’t come early for daily fantasy sports players in New York. A state judge issued an injunction this Friday ordering the two largest DFS sites, DraftKings and FanDuel, to shut down. The injunction was based upon the judge’s finding that DFS constituted illegal gambling under state law. Fortunately for the sites, their players, and their investors, the two operators immediately appealed the court’s decision…
Sorry, NY Fantasy Sports Fans. No Play for You!
November 16, 2015
Sorry, NY Fantasy Sports Fans. No Play for You!
By: Jeff Ifrah
Daily Fantasy Sports (or DFS) offers daily excitement to millions of US sports fans, and it enjoys tremendous support from its fan base. That support was on display today in NYC, as more than 250 upset fans rallied in front of the Attorney General’s office. The rally in support of DFS was in response to last week’s controversial announcement by New York Attorney General Eric…
