The Commodity Futures Trading Commission proposed new rules Wednesday aimed at regulating prediction markets by establishing clearer guidelines for what types of events can be listed for trading on these platforms.

The CFTC's proposal seeks to specify which events the agency considers "contrary to the public interest" and would therefore be ineligible for listing on prediction market platforms. The regulatory framework would provide greater clarity for operators of these markets, which allow users to bet on the outcomes of various events.

Prediction markets have gained increased attention in recent years as platforms have expanded beyond traditional financial instruments to include betting on political elections, economic indicators, and other real-world events. The new rules represent an effort to establish formal regulatory boundaries around these emerging markets.

The proposal comes as federal regulators have been working to address the growing prediction market industry, which has operated with relatively limited oversight compared to traditional financial markets. The CFTC's move would establish more definitive standards for market operators and participants.

The proposed regulations will be subject to a public comment period before any final rules are implemented. Industry stakeholders and the public will have an opportunity to provide input on the proposed framework before the commission makes its final determination.