Malta’s government is studying whether to regulate prediction markets, Economy Minister Silvio Schembri said. The report said possible rules could address market integrity, consumer protection, financial stability, manipulation and capital requirements; no framework was announced.
A dedicated framework could shape the requirements prediction-market operators face in Malta.
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The US mid-term election brought Democrats control of the House and Senate, while state regulators and prediction-market operators continue to dispute the legality of sports event contracts. New Jersey Attorney General Jennifer Davenport asked the Supreme Court in September to review whether federal law prevents states from regulating those contracts; a law professor quoted in the report said he expects the court to hear the challenge.
New Jersey Atty. Gen. Jennifer Davenport petitioned the Supreme Court in September to consider whether states may regulate sports offerings on prediction markets. Democrats took control of both the House and the Senate in the mid-term election.
Kalshi recorded more than $1.1 billion in election trading during the 10 days around the US midterms, while parlays generated $25.3 billion over the same period, according to analysis of prediction-market data. Election trading accounted for 3% of platform volume; volume measures contracts exchanged, not revenue retained by the platform.
Kalshi processed more than $1.1 billion on elections during the 10 days surrounding the midterms, only 3% of the platform's volume. Over the same period, Kalshi processed $25.3 billion in parlays and also $6.1 billion in non-parlay sports contracts.
Ohio Sen. Bill DeMora filed legislation to bring sports prediction markets under state sports-gambling rules and prohibit election-related event contracts. He said a federal appeals court ruling could help advance the proposals, though the bills would need to be reintroduced in 2027.
Texas sports betting and casino legislation could be affected by the lieutenant governor election on 3 November, according to the report. Dan Patrick has said gambling expansion needs majority support from Senate Republicans; in 2023, he declined to advance a sports betting amendment passed by the House. Vikki Goodwin supports letting voters decide on casinos and online sports betting.
According to the report, the future of Texas sports betting and casino legislation could hinge on the lieutenant governor race held on November 3. Dan Patrick, the Republican lieutenant governor, is the favorite on prediction markets to win another term against Democratic state Rep. Vikki Goodwin. As of Monday, Kalshi placed Patrick's chance at 75% and Polymarket at 77%, although trading volume in that market was small.
Illinois officials appealed to the Seventh Circuit after a federal judge barred the state from enforcing its event-contract licensing and tax law. Judge Martha Pacold’s 30 October order covers licensing, fees, taxes and enforcement measures concerning swaps, including sports event contracts offered by CFTC-registered companies.
Illinois officials took the matter to the Seventh Circuit after a federal judge stopped the state from applying its event-contract licensing and tax law, the report said. The ruling came from Judge Martha Pacold in an order dated Friday, Oct. 30, according to the report. Pacold's order blocks enforcement of licensing requirements, associated fees, taxes and related criminal provisions, the report said.