HPC and Multicoin Jointly Submit Letter Supporting CFTC Regulatory Framework for Prediction Markets

Foresight News reported that the Hyperliquid Policy Center (HPC) and Multicoin Capital have jointly submitted a comment letter in support of the U.S. Commodity Futures Trading Commission (CFTC)'s proposed regulatory framework for prediction markets. The draft framework clarifies the CFTC’s standards for excluding event contracts from regulated exchanges. The letter made three main arguments: clear rules are preferable to uncertainty; prediction markets should be regulated uniformly at the federal level rather than being subject to individual state gambling laws, on the grounds that exchange contracts are structurally different from traditional bookmaker gambling; and it recommends that the CFTC adopt a settlement-result-based standard for determining what is “involved,” publish additional illustrative examples, and provide public reasoning for its decisions regardless of whether contracts are approved.

The Hyperliquid Policy Center (HPC) was established in February 2026 as an independent, nonprofit research and advocacy organization headquartered in Washington, D.C. It was founded and is led by former Variant Chief Legal Officer Jake Chervinsky, and was launched with support from the Hyper Foundation, which contributed 1 million HYPE tokens. The center focuses on regulatory policy advocacy for decentralized financial infrastructure, including perpetual contracts and prediction markets, that support the Hyperliquid ecosystem.