The official release:
Washington, DC - The Commodity Futures Trading Commission today found that the terms and conditions of the proposed Weekend Motion Picture Revenue futures and options contracts submitted by Media Derivatives, Inc. (MDEX) do not violate the Commodity Exchange Act or the Commission's Regulations thereunder. The contracts (commonly referred to as "movie futures") consist of a collared futures contract and a binary call option contract on Opening Weekend Motion Picture Revenues for the motion picture, Takers. The contracts are intended to allow participants in the motion picture industry to manage the financial risks associated with the production and distribution of motion pictures.
Chicago-based Media Derivatives, Inc. received formal approval on Monday from the Commodity Futures Trading Commission to begin trading box office futures. The company should be able to begin trading by this winter as long as it receives final approval from Congress.
It's been an uphill battle for Media Derivatives, considering that the MPAA, NATO and various guilds have been vocally against the idea.
Cantor Fitzgerald seeks similar approval, but it will need to wait until June 28 for a decision.