Canadian regulators tighten prediction markets rules, explicitly ban sports event contracts

Key Takeaways The Canadian Investment Regulatory Organization (CIRO) now explicitly bans the offering or promoting of sports and entertainment-related event contracts. CIRO also newly defines event contracts and prediction markets after acknowledging increased interest in the products. Only two companies are officially authorized to offer prediction markets in Canada, and only under strict limitations. Canadian financial regulators further firmed up their stance on sports prediction markets in recent days. The Canadian Investment Regulatory Organization (CIRO) updated its terms and conditions for its Investment Dealer Members that offer, trade, or facilitate trading in event contracts to note that sports and entertainment-related…