The Commodity Futures Trading Commission and Major League Baseball have signed a Memorandum of Understanding in the first agreement of its kind between the regulator and a professional sports league.

The move comes as the CFTC CFTC The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss Read this Term increases its focus on event-based contracts and prediction markets, an area that has drawn regulatory scrutiny in recent years. Finance Magnates has previously reported on the agency’s review of such products, particularly around market integrity and oversight standards. The MOU was announced ahead of the 2026 baseball season.

MLB Partners With CFTC on Prediction Markets

It sets out a framework for the two sides to cooperate and exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term information on issues of shared interest, including matters related to professional baseball and associated prediction markets.

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According to the regulator, the arrangement is intended to support oversight of markets tied to sports outcomes. Michael S. Selig described it as a “collaborative step” to promote “integrity and resilience” in baseball-related prediction markets. He said it would also help the agency develop tools to protect participants from “fraud, manipulation, and other abuses.”

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Selig also acknowledged the role of MLB Commissioner Rob Manfred in establishing the partnership, citing the league’s involvement in efforts related to safeguarding market operations.

Today the @CFTC and @MLB made history by signing the first-ever MOU between a sports league and federal agency.

We’ve committed to work together to protect the integrity and resilience of prediction markets relating to professional baseball.

Through this partnership, the… pic.twitter.com/SNfym65t0N

— Mike Selig (@ChairmanSelig) March 19, 2026

MOU Enables “Faster Responses, Risk Detection”

Under the terms of the MOU, both sides will share information in line with applicable laws. The framework is designed to enable faster responses to incidents and improve the identification of emerging risks.

Both parties said they will continue to cooperate as prediction markets linked to professional sports develop.