The Commodities and Futures Trading Commission (CFTC) is considering reviewing Crypto.com's new sports event contracts, though this scrutiny isn't expected to affect the platform's plans to offer Super Bowl derivatives.

According to Bloomberg News sources, the CFTC may vote to subject these contracts to a 90-day review period. Since the Super Bowl is scheduled for February 9 in New Orleans, any review would conclude well after the event.

The regulatory body's main concern centers on potential violations of gaming laws. Crypto.com announced these derivatives just before Christmas, leaving insufficient time for proper CFTC review due to the holiday period.

The timing is particularly noteworthy as President-elect Trump prepares to take office, which will bring leadership changes to the CFTC. A Crypto.com representative expressed disappointment that the current administration would consider this action rather than allowing incoming leadership to make determinations about free market operations.

While Trump hasn't named a new CFTC chairman, his appointments to the SEC and Treasury Department are viewed as crypto-friendly, suggesting potential favorable conditions for event contract platforms. This shift is further evidenced by Donald Trump Jr. joining Kalshi, a major event contract platform, as a strategic adviser.

Sports event contracts represent a potential new frontier in wagering, offering advantages over traditional sportsbooks. Unlike state-regulated sportsbook operators, federally regulated firms like Crypto.com and Kalshi can operate across all 50 states, compared to sports wagering's current availability in 38 states and Washington, DC.

Crypto.com has already expanded its sports event contracts to include NFL conference championships and the final three college football playoff games, demonstrating the platform's commitment to growing this market segment despite regulatory uncertainty.

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