Trump nominates Kalshi's Brian Quintenz to lead CFTC as focus on prediction markets grows

President Donald Trump has nominated Kalshi Director Brian Quintenz to serve as the next chairman of the Commodity Futures Trading Commission (CFTC), a move that could have implications for the regulation of prediction markets and event-based trading.

Quintenz, who previously served as a CFTC commissioner under Trump’s first administration, confirmed his nomination on X (formerly Twitter): “It is my great honor to be nominated by President Donald Trump as the next Chairman of the Commodity Futures Trading Commission, where I had served as a Commissioner in his last administration. The CFTC plays a critical role in maintaining robust hedging and price discovery.”

It is my great honor to be nominated by President @realDonaldTrump as the next Chairman of the Commodity Futures Trading Commission, where I had served as a Commissioner in his last administration. The @CFTC plays a critical role in maintaining robust hedging and price discovery…

— Brian Quintenz (@BrianQuintenz) February 12, 2025

His nomination comes at a time when event-based contracts, particularly in political prediction markets, are under regulatory scrutiny. If confirmed, he will oversee an industry that is increasingly blending financial trading and gambling elements, raising concerns among traditional gaming operators.

Quintenz was initially nominated to the CFTC in 2016 by President Barack Obama, but his confirmation was delayed until Trump re-nominated him in 2017. He remained at the agency until 2021, advocating for innovation in financial markets, particularly in cryptocurrency and blockchain-based trading.

In 2022, he joined venture capital firm Andreessen Horowitz as its head of global cryptocurrency public policy. His appointment at Andreessen coincided with the firm’s political shift, as co-founder Ben Horowitz backed Trump in the 2024 presidential election after years of supporting Democratic candidates.

Quintenz’s nomination is closely watched by Kalshi, a prediction market operator that has been in a regulatory battle with the CFTC over its attempt to offer derivatives based on political events.

Founded in 2018 by Tarek Mansour and Luana Lopes Lara, Kalshi has been expanding its reach despite challenges from federal regulators. The company recently appointed Donald Trump Jr. to an advisory role, aligning itself with the current administration ahead of key regulatory decisions.

Kalshi has also secured partnerships with major trading platforms, including Robinhood and Webull, to introduce event contracts to retail traders. However, these efforts have been delayed as the CFTC reviews the legality of such offerings.

The rise of prediction markets has raised concerns among traditional gaming companies, as Kalshi’s event contracts are available in all 50 states, while sports betting is currently legal in only 38 states and Washington, DC.

BetMGM CEO Adam Greenblatt has acknowledged the growing competition from event-based contracts, while Entain, BetMGM’s European stakeholder, has experience in similar markets overseas. With Republicans controlling the Senate, Quintenz’s confirmation appears likely.