The Commodity Futures Trading Commission has requested public comment on the application by Media Derivatives, Inc. (MDEX) for designation as a contract market. MDEX plans to offer cash-settled derivatives contracts based on domestic gross box office revenues (over specified periods) for individual motion pictures, which contracts are intended to serve as risk management tools for the motion picture industry. MDEX contracts would be cleared by the Minneapolis Grain Exchange.
The comment period for the MDEX application closes on November 5. Related materials and the CFTC press release regarding the application are available here.