Why did Cboe Global Markets (BATS) launch prediction market contracts?

Cboe Global Markets (BATS) launched Cboe Predicts in response to growing demand for short-term, outcome-based trading products. The platform's first contracts allow traders to take yes-or-no positions on the daily closing level of the S&P 500.

What are the new contracts offered by Cboe Global Markets (BATS)?

Cboe Global Markets (BATS) is offering binary contracts linked to whether the S&P 500 will close above or below a specified price level. The contracts are available through Interactive Brokers and are expected to expand to additional brokerage platforms.

What does the launch mean for Cboe Global Markets (BATS)?

Cboe Global Markets (BATS) has entered the prediction market sector alongside existing operators offering event-based contracts. The launch expands the company's product range into a market that has attracted increasing interest from retail and institutional traders.

How are prediction markets such as those launched by Cboe Global Markets (BATS) facing regulatory scrutiny?

Prediction markets, including products from Cboe Global Markets (BATS), operate in a sector facing growing regulatory attention. Recent challenges include legal action against several operators and proposals from US lawmakers to restrict certain forms of political event trading.

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Cboe launches S&P 500 prediction contracts

Written by Liezl GambePublished Jun 24, 2026, 11:49 PM

Cboe Global Markets launched Cboe Predicts, its first prediction market platform featuring S&P 500-linked binary contracts.
The contracts are available through Interactive Brokers and are expected to expand to additional retail brokerages, including Charles Schwab.
The launch reflects growing demand for outcome-based trading products despite increasing regulatory scrutiny of prediction markets.

Cboe Global Markets has launched Cboe Predicts, a prediction market platform offering binary contracts tied to the daily closing level of the S&P 500 index.

The contracts allow traders to take yes-or-no positions on whether the S&P 500 will close above or below a specified level and are currently available through Interactive Brokers, with additional brokerage distribution expected in the coming months.

“Our customers are showing more demand for shorter-dated, outcome-based trading opportunities,” said Cboe Global Markets Head of Retail Expansion and Alternative Investment Products JJ Kinahan.

Cboe said the contracts are structured as security options and will operate under the same regulatory framework as US-listed options, while the company stated the products offer institutional-grade liquidity and transparency.

The launch expands Cboe's presence in the growing prediction market sector, and following the announcement there was no immediate share price reaction reported for Cboe Global Markets.

Prediction markets have attracted increased interest from retail and institutional traders, with platforms such as Polymarket and Kalshi already offering contracts linked to market, political and event outcomes.

The sector also faces regulatory challenges, with Kentucky recently filing legal action against several prediction market operators and US lawmakers previously proposing restrictions on political prediction market activity by government officials.