Congresswoman Dina Titus today introduced legislation to address the rapid expansion of prediction market “event contracts” tied to sporting events and casino-style games, citing growing risks to consumer protection and the integrity of regulated markets. These contracts increasingly resemble traditional wagering activity while operating outside the safeguards enacted by states and designed to protect consumers and ensure fair competition.

 

“These prediction markets are rapidly expanding around the world without the same guardrails that apply to licensed, regulated gaming operators,” Congresswoman Titus said. “Consumers deserve transparency, accountability, and protections against predatory practices. Without meaningful oversight, these platforms expose users to misleading financial risks, while diverting revenue away from states and tribes that rely on regulated gaming to invest in their communities.”  

 

The Fair Markets and Sports Integrity Act would amend the Commodity Exchange Act to prohibit entities registered from engaging in transactions involving sporting or casino-style event contracts. Prediction markets have been nominally regulated by the Commodity Futures Trading Commission, whose core mission is to regulate derivative markets and which does not have the resources nor the expertise to be a nationwide gaming regulator.

 

“Sports event contracts create a backdoor mechanism to offer sports betting in states that have not authorized it,” Congresswoman Titus said. “The 39 states that have legalized sports betting have adopted strong safeguards for consumer protection, responsible gaming, anti-money laundering compliance, and independent integrity monitoring. Prediction market companies are evading these protections, leaving consumers, players, and the integrity of sports at risk. My legislation would end this illegitimate practice.”