The CFTC is going to close the comments in 3 days. We have 3 days left to convince the CFTC to accept FOR-PROFIT prediction exchanges (e.g., InTrade USA or BetFair USA), and counter the puritan and sterile petition organized by the American Enterprise Institute (which has on its payroll Paul Wolfowitz, the bright masterminder of the Iraq war).

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ADDRESSES: Comments should be sent to the Commodity Futures Trading Commission, Three Lafayette Centre, 1155 21st Street, NW., Washington, DC 20581, Attention: Office of the Secretariat. Comments may be sent by facsimile to 202.418.5521, or by e-mail to secretary@cftc.gov.

Reference should be made to the “Concept Release on the Appropriate Regulatory Treatment of Event Contracts.” Comments may also be submitted through the Federal eRuleMaking Portal at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Bruce Fekrat, Special Counsel, Office of the Director (telephone 202.418.5578, e-mail bfekrat@cftc.gov), Division of Market Oversight, Commodity Futures Trading Commission, Three Lafayette Centre, 1155 21st Street, NW., Washington, DC 20581.

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THE MIDAS ORACLE TAKES:

- CALL TO ACTION: Let’s fight so that the CFTC allows the FOR-PROFIT prediction exchanges to deal with “event markets”.

- In the for-profit vs not-for-profit debate, our prediction market luminaries, doctored by Bob, are on the wrong side of the issue.

- The definitive proof that FOR-PROFIT prediction exchanges (like BetFair and InTrade) are the best organizers of socially valuable prediction markets (like those on global warming and climate change).

- Analysis of the HedgeStreet’s comment sent to the CFTC.

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BACKGROUND INFO:

- CFTC’s Concept Release on the Appropriate Regulatory Treatment of Event Contracts… notably how they define “event markets”, how they are going to extend their “exemption” to other IEM-like prediction exchanges, and how they framed their questions to the public. Here are the comments sent to the CFTC.

- The BusinessWeek news article about the CFTC’s concept release.

- The Arnold & Porter lawyer’s take. — (PDF file)

- The Schulte, Roth & Zabel lawyers’ take. — (PDF file)

- The Sullivan & Cromwell lawyers’ take. — (PDF file)

- Michael Giberson’s economic take.

- Chris Hibbert’s libertarian take.

- Tom W. Bell’s libertarian take.

- The American Enterprise Institute’s proposals to legalize the real-money prediction markets in the United States of America

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COMMENTS TO THE CFTC

- Very soon, two prediction market organizations and one VIP will submit their comment to the CFTC.

- What Vernon Smith told the CFTC. — (PDF file)

- Jed Christiansen’s pragmatic take. — Final draft – (PDF file) – His comment to the CFTC – (PDF file)

- The International Swaps and Derivatives Association‘s comment to the CFTC – (ISDA) — (PDF file)

- Jason Ruspini’s comment to the CFTC — (PDF file)

- Tom W. Bell’s petition, which will be sent to the CFTC. — (Jonathan Gewirtz is in.)

- HedgeStreet’s comment to the CFTC. — (PDF file)

- A young economist rebuts the American Enterprise Institute. — (MO mirror) — Comment to the CFTC – (PDF file)

- Tom W. Bell rebuts the American Enterprise Institute.

- Robin Hanson’s comment to the CFTC. — (MO mirror)

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APPENDIX:

Paul Wolfowitz’s profile at the American Enterprise Institute

- How the neo-cons drove the United States of America into the unecessary Iraq war

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