(AsiaGameHub) –   Sens. John Curtis (R-UT) and Adam Schiff (D-CA) unveiled bipartisan legislation on March 23 that would prohibit prediction markets overseen by the Commodity Futures Trading Commission (CFTC) from offering contracts tied to sports events and casino-style activities. This proposed bill joins a growing roster of legislative efforts aimed at curbing prediction markets as these platforms face heightened oversight from lawmakers on Capitol Hill. 

The Prediction Markets Are Gambling Act would revise the Commodity Exchange Act (CEA) to prevent registered entities from providing contracts related to sporting events, athletic contests, or casino-type games. Should the bill become law, it would explicitly affirm that states hold complete jurisdiction over sports betting and casino-style gambling.

Prediction markets are offering sports bets — just with a different name.

They are being offered in states where sports betting is illegal, like California, while federal regulators are greenlighting them rather than enforcing the law.

My bipartisan legislation with… pic.twitter.com/oNvI2vw9IP

— Adam Schiff (@SenAdamSchiff) March 23, 2026

This legislation emerges at a time when sports-related contracts are a major point of contention in discussions about the legality of prediction markets. State regulators, tribal representatives, industry associations, and certain legislators have contended that sports event contracts are no different from sports betting, serving as a loophole that lets CFTC-regulated platforms bypass state laws and operate in regions where conventional sports wagering is limited or prohibited.

Redefining the Rules of the Game

In its current form, the bill would resolve the ongoing debate about whether event contracts are legitimate hedging instruments or merely digital bets. The legislation would modify the CEA to clearly define and prohibit contracts linked to “sporting events or athletic competitions” and “casino-style games”—a category that covers everything from slot machine activities to professional and college sports.

Speaking about the proposed legislation, Curtis put it in terms of state authority and consumer protection:

“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.”

Schiff was more straightforward in criticizing the current setup of prediction markets, asserting that “sports prediction contracts are sports bets—just under a different label.” He noted these products are available across the country “in blatant violation of state and federal laws” and framed the bill as a means to shut a regulatory “backdoor” that undermines state consumer safeguards and tribal self-governance.

Capitol Hill Continues to Ramp Up Pressure on Prediction Markets

The Prediction Markets Are Gambling Act is the newest addition to a recent surge of legislative measures aimed at prediction markets—an industry Schiff referred to as the “Wild West” when he introduced the DEATH BETS Act on March 11. 

Beyond sports and casino-style activities, Congress is targeting prediction markets from several angles as it seeks to impose stricter regulations on these platforms: 

• Political Integrity: Rep. Ritchie Torres (D-NY) put forward the Public Integrity in Financial Prediction Markets Act, which would prohibit federal officials from trading in government-related contracts when they have access to nonpublic information.
• The “Death Bets” Ban: Senator Schiff also recently unveiled the DEATH BETS Act, which explicitly forbids contracts linked to war, assassinations, or the death of an individual.
• Consumer Protections: The Prediction Markets Security and Integrity Act, backed by Sen. Richard Blumenthal (D-CT) and Sen. Andy Kim (D-NJ), suggests a more comprehensive regulatory structure that includes age verification requirements and a prohibition on using credit cards for betting.

As prediction markets grow in popularity, Capitol Hill lawmakers are signaling their intent to influence the future direction of the industry.