U.S. House Hearing on CLARITY Act May Empower CFTC to Regulate Prediction Markets, July 22

According to BlockBeats, on July 22, the U.S. House Agriculture Committee's Subcommittee on Commodity Markets, Digital Assets and Rural Development held a hearing on strengthening CFTC oversight of prediction market platforms including Kalshi and Polymarket, and the potential role of the Clarity for Markets and Regulatory Transparency (CLARITY) Act.

Carl Kennedy, a partner at law firm Katten Muchin Rosenman, stated that CFTC currently lacks sufficient staff to effectively regulate rapidly growing prediction markets and digital assets. If the CLARITY Act passes, it would grant CFTC additional regulatory authority to address explosive growth in prediction markets. Republican lawmakers plan to advance a CLARITY Act vote before the House's August recess and will release the bill text soon.