meta_id 3400421

On August 12, 2026, the Commodities Futures Trading Commission (CFTC) Division of Market Oversight released an advisory addressing deficiencies in self-certification filings submitted by designated contract markets (DCMs) for market-maker, liquidity, trading, and incentive programs. The advisory reminds DCMs of their regulatory obligations when submitting self-certifications under CFTC Regulations 40.5 and 40.6. The CFTC identified an increasing number of incentive-program rule filings, particularly those relating to event contract products, that contain procedural or substantive deficiencies. These deficiencies impede the CFTC staff's ability to evaluate whether DCMs have provided adequate notice of program terms and have sufficiently assessed compliance with core principles and other Commission requirements. The advisory outlines staff expectations regarding both procedural and substantive content for submissions made under CFTC Regulations 40.5 and 40.6, covering initial program submissions, amendments, changes to such programs, and submission procedures. DCMs must ensure their self-certification filings for incentive programs meet the CFTC's procedural and substantive standards to facilitate timely staff review and approval. The advisory serves as guidance to help DCMs understand regulatory expectations and avoid common deficiencies that delay the certification process. DCMs should review the CFTC Staff Letter No. 26-23 for detailed guidance on compliance requirements and submission procedures. REFERENCES: Commodities Futures Trading Commission. "CFTC Releases Advisory on Self-Certification of Incentive Programs for Prediction Markets." Press Release 9282-26, August 12, 2026. https://www.cftc.gov/PressRoom/PressReleases/9282-26