Finance News

Story: Senators Push Bill Banning Sports Betting Prediction Contracts

By Jean-Luc Maracon

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What Changes Under New Rules. Pretty simple concept here. The bill would strip sports contracts from CFTC jurisdiction entirely,…

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Industry Players Scramble for Solutions. Major League Baseball threw everyone a curveball by partnering with Polymarket earlier this year.

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Two senators want out. Adam Schiff and John Curtis just dropped a bill that would kick sports prediction contracts off federal turf and dump them on states instead.

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The legislation targets platforms like Kalshi and Polymarket, which currently operate under CFTC oversight as financial derivatives.

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Pretty simple concept here. The bill would strip sports contracts from CFTC jurisdiction entirely, forcing platforms to either shut down these products or get state gambling…

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Brokers face some tough questions now. Product availability could get chopped up state by state, with some markets going dark completely.

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The CFTC keeps fighting for its turf, arguing in court that event-based contracts should stay under commodity derivative rules.

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Kalshi operates under federal derivative rules as of March 2026, treating sports contracts like any other financial product.

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Polymarket hit a deal with the CFTC in January 2026 to implement contract limits after some regulatory pressure.

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Senator Curtis said on March 20, 2026 that the bill aims to stop federal overreach into areas states traditionally handle through gambling laws.

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The regulatory tug-of-war has market observers watching every move in Congress. If sports prediction contracts get reclassified, it could trigger a broader review of similar…

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The Finance Magnates Singapore Summit 2026 has become ground zero for industry discussions about the bill's implications.

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Without clear guidance from Congress, firms exploring prediction markets face increased operational headaches.

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The bill sits in committee with no clear timeline for a vote. Industry participants can't plan long-term strategies when they don't know which regulators will oversee their…

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Arizona's criminal charges against Kalshi remain active while federal regulators continue defending their jurisdiction in court.

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