[SBR Lou]

Betting on Movie futures props legalized in US

The United States Commodity Futures Trading Commission have approved the betting of movie box office futures props, as detailed in this article by Business Week. The media derivatives market will be named "Trend Exchange", and is expected to help manage economic volatility. The move is strongly opposed by the MPAA - the Motion Picture Association of America.

[Kemalettin]

wow this is a good news thanks lou

[Justin7]

This doesn't look like it legalized props - just allows companies to hedge risk via SEC approved futures on movie sales. I don't think this allows sportsbooks to offer props.

[blix177]

Man they need to stop creating stupid prop bets, and legalize sports.

[Ruifgalmeida]

Props a very popular in british books, you can bet all kind of stuff politics,celebs stuff, I once saw "is this winter going to beat a new temperature record yes or no"

[JoshW]

When you have a company with as much clout at Cantor, I could see progress coming in this area for a while. If they economy continues to get worse, you might continue to see small steps to legalize sports betting in states, but it will take many years.

[patswin]

its a start

[Boner_18]

This doesn't look like it legalized props - just allows companies to hedge risk via SEC approved futures on movie sales. I don't think this allows sportsbooks to offer props.

There is also space for speculators to bet on the total gross sales on an exchange where these instruments are carried. I believe they are structured as futures and will be cleared on the COMEX in Chicago.

But yes we are talking about large sophisticated wall st. counter-parties as the smallest futures K will likely be 100k+.

[Boner_18]

Senate just voted banned it despite the CFTC setting up the exchanges. This is far from a certainty.

[wisky]

Maybe the financial reform bill will block this

[BET THE HOOK]

This is not what you guys think it is