NBA commissioner Adam Silver said the league considers prediction markets such as Kalshi and Polymarket a form of sports gambling. He said lawmakers and courts will determine their legal status, with cases involving the platforms under way.
Operators and prediction-market providers face unresolved legal classification that lawmakers and courts will determine.
The day’s most important stories, free. One email a day.
Reportedly, DraftKings is increasing prediction market advertising in some of the largest US markets without legal sports betting. The campaign push comes ahead of the NFL season starting on 9 September.
Novig said the CFTC granted it designated contract market status on 16 June, authorising it to operate a regulated sports prediction exchange nationwide. The company said the designation enables operation under one federal framework; rival ProphetX said it received its own federal approval on 11 June.
Reportedly, Two federal appeals courts disagree on whether sports event contracts constitute bets. Three petitions are before the Supreme Court as Kalshi continues to record trading highs.
The NBA submitted comments to the US Commodity Futures Trading Commission on 30 April, urging regulation of sports-event contracts to protect competition integrity, according to the league’s letter. It called for trading restrictions on athletes and sports personnel, cooperation with league investigations, trader-identity disclosure and use of official league data for settlement.
US federal appeals courts scheduled proceedings in cases involving Robinhood Derivatives and Kalshi, according to reports. The First Circuit set oral arguments in Robinhood’s appeal of a jurisdictional dismissal in its challenge involving Massachusetts regulators; the Seventh Circuit granted Kalshi’s appeal of a ruling involving tribal gaming claims in Wisconsin.