Summary
- A new poll by a trade group focused on tackling the prediction market has argued that the majority of Americans view prediction markets as gambling
- People are increasingly worried that prediction markets may serve as a gateway to underage gambling
- Gamlbing Is Not Investing is founded with the goal to address what it sees as an unchecked form of gambling by the prediction market platform
A new poll by Morning Consult and commissioned by Gambling Is Not Investing, a newly set-up trade group that focuses on criticizing the prediction market sector, has found that the majority of Americans believe these platforms to be indeed a form of gambling.
New poll suggests Americans are aware of the implied gambling-like association of prediction markets
The poll arrives at a time when the sector is facing sustained pressure from state-level gaming regulators as well as members of Congress who have filed multiple draft laws seeking the further regulation of the sector. According to an official press release summarizing the findings of the poll, Gambling Is Not Investing claims that the majority of American adults are worried about the potential harm stemming from the sector, including but not limited to underage sports betting. Several key points have been highlighted by the poll and trade group, with 81% of Americans agreeing that sports betting on prediction markets is gambling. It is important to note that prediction market platforms do not use the language betting, but refer to the activity as trading. Fittingly, 73% of Americans argue that by describing these products as event contracts, futures, or swaps, it’s harder for customers to fully understand the financial risk involved. According to the Morning Consult poll, 77% of Americans are now worried that the sector could serve as a gateway for teenagers to bet on sports and could further increase gambling-related harm in young adults.
Gambling Is Not Investing trade group keeps the pressure on
This polling confirms that unabated sports gambling on prediction markets is a growing concern across America. Prediction markets are trying to disguise their sports betting products as a financial investment, misleading Americans, and dodging consumer safeguards such as age requirements. Let’s face it, if it quacks like a duck, it’s sports betting, said Mick Mulvaney, who is the trade group’s Executive Director. Another 81% of Americans believe that prediction markets should comply with state gaming regulations, which include tax structures, problem gambling requirements, and age restrictions. Despite these concerns, the prediction market is booming with InterContinental Exchange, the parent company of the New York Stock Exchange, disbursing a further $600m in Polymarket.
