Indeed, has nothing to do with actual BTC or even its price movement. It will simply allow to place bets based on what is happening with the price action of BTC. They are using prices from existing exchanges so the only problem I see is if they try to buy out the majority of BTC and manipulate it that way while also placing bets on the outcome on CBOE/CME which would require hundreds of billions on dollars, which only the government can feasibly do.