The American Gaming Association (AGA) has come out swinging against sports prediction markets.
The industry body has a tracker on its website that updates in real time, showing how many gaming tax dollars states have lost since these online gambling products first went live. The total at the time of writing was more than $122m.
the markets threaten the integrity of games, don’t benefit local communities
The AGA claims that prediction market platforms “openly flout” tribal and state oversight for the regulated sports betting sector. It also said that the markets threaten the integrity of games, don’t benefit local communities, and lack proper consumer protections.
The AGA highlighted that Pennsylvania on its own nearly has as many gambling regulators as the Commodities and Futures Trade Commission (CFTC) that oversees sites like Kalshi and Polymarket. The gaming body believes that one federal agency can’t oversee the nationwide sports betting sector.
The average person seems to agree with the AGA, according to its own research. A recent study suggests that 85% of Americans see sports event contracts as a form of gambling, despite operators denying that this is the case. Around 69% of the people surveyed believe that each state should be able to decide if they permit these platforms, similar to how legal sports betting is handled.
