The gaming industry is banding together with tribes and unions to urge lawmakers to add language barring prediction markets like Kalshi from offering sports wagers to pending cryptocurrency legislation, according to the text of a letter viewed by Semafor.
“While our organizations may differ on other issues, including gambling policy, we are united in our concern that prediction markets have fueled the largest expansion of gambling in U.S. history over the past 18 months — without voter approval or legislative authorization,” the American Gaming Association wrote alongside the Indian Gaming Association, plus the AFL-CIO’s Hotel and Gaming Trades Council and UNITE HERE, among others.
“Congress should not wait while this nationwide expansion of gambling continues. It should use crypto legislation to reaffirm a simple principle: sports betting falls outside the CFTC’s remit and cannot be offered through prediction market platforms.”
AGA said last month it believes states have lost $1 billion to prediction markets since the start of 2025, an estimate the latter contests.