Summary
- The AGA has captured the pulse of American sports fans through a survey, highlighting a strong belief that prediction markets and platforms should face the same regulations as traditional sportsbooks.
- A significant number of people strongly opposed the CFTC's involvement in regulating futures contracts, especially when it comes to sports.
- The AGA is determined to persuade prediction platforms to back away from exploiting sports markets.
The American Gaming Association has shared exciting new research revealing that most US sports bettors are eager to see prediction markets regulated in the same way as sportsbooks.
AGA doubles down in a new survey that prediction markets are a form of sports betting
Many sports bettors view prediction markets as a form of gambling. However, platforms like Kalshi, Polymarket, and PredictIt insist this isn't the case. Yet, recent research reflects public opinion strongly: 85% of participants believe prediction markets resemble gambling more than financial instruments, whereas a mere 6% think otherwise. American Gaming Association President and CEO Bill Miller expressed a clear viewpoint: This research leaves no room for doubt. Americans recognize a sports bet when they see it and expect prediction markets that offer sports event contracts to abide by the same rules and protections as state-regulated sportsbooks. Remarkably, 80% of those surveyed assert that this industry should be regulated similarly to sportsbooks, despite significant pushback from prediction platforms. Additionally, 65% of respondents believe that the Commodities Futures Trading Commission (CFTC) is well-suited to supervise prediction markets. Furthermore, 84% of Americans feel these contracts should only be available through state-licensed sportsbooks, with 69% of sports gamblers in agreement. This sentiment underscores a strong call for regulation and clarity in the arena of prediction markets.
The public opinion clearly favors sportsbook-like regulation for prediction markets
AGA's research paints a vivid picture: a strong consensus exists among the general public and sports gamblers. Most agree that prediction contracts urgently require tighter oversight. An overwhelming 70% of respondents believe that companies running these prediction platforms aren't playing fair. They claim these platforms are twisting legal loopholes to offer virtually the same services under a different guise. Yet, despite the skepticism, prediction markets remain firmly grounded in legality. It's important to note that they're not alone in facing scrutiny. Sweepstakes casinos are also feeling the heat, facing multiple bans across the United States. This situation highlights the crucial need for the CFTC to enforce its own gaming contract regulations. It also calls for Congress to wield its oversight authority to prevent prediction markets from being misused as a loophole for illegal gaming, Miller emphasized.
