U.S. Senator Adam Schiff has introduced a second bill to restrict the type of event contracts that are available through prediction markets platforms.
Having introduced the Death Bets Act two weeks ago to prohibit any CFTC registered entity from listing contracts related to terrorism, assassination, war, or an individual’s death, Senator Schiff has now teamed up with Senator John Curtis to introduce the Prediction Markets Are Gambling Act.
The bipartisan Prediction Markets Are Gambling Act aims to prohibit Commodity Futures Trading Commission (CFTC) registered entities from listing any prediction contract that resembles a sports bet or casino-style game.
“Sports prediction contracts are sports bets — just with a different name. And yet, these contracts have been offered in all fifty states in clear violation of state and federal law,” said Senator Schiff. “Rather than enforce the law, the CFTC is greenlighting these markets and even promoting their growth.
“It’s time for Congress to step in and eliminate this backdoor which violates state consumer protections, intrudes upon tribal sovereignty, and offers no public revenue. I’m proud to partner with Senator Curtis to put a stop to these illegal markets.”
Senator Curtis added: “Too many young people in Utah are getting exposed to addictive sports betting and casino-style gaming contracts that belong under state control, not under federal regulators.
“Our bipartisan legislation clarifies regulatory jurisdiction, ensuring that states can maintain their authority over sports betting and casino gaming. The Prediction Markets Are Gambling Act is about respecting states’ authority, protecting families, and keeping speculative financial products out of spaces where they don’t belong.”