Kalshi, Robinhood, Underdog Among Big Names Launching Prediction Market Alliance

  • DC-based coalition includes Kalshi, Robinhood, Coinbase, Underdog, Crypto.com.
  • CPM is praising federal regulation while railing against state gaming regulators
  • “The coalition will defend against state-level overreach,” a coalition press release said
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Multiple prediction market firms have formed an alliance “to promote and defend their political interests.” [Image: Shutterstock.com]

Multiple big-brand prediction market operators have formed an alliance “to promote and defend their political interests amid a growing fight over sports betting.”

On Wednesday, reports emerged that initial members of the Washington, DC-based Coalition for Prediction Markets (CPM) include Kalshi, Robinhood, Coinbase, Underdog, and Crypto.com.

dedicated to preserving safe, transparent, and federally supervised access to prediction markets.”

On Thursday, Kalshi and Crypto.com confirmed via a press release they had launched the CPM with the abovementioned initial members. According to the release, the CPM is a US-wide body “dedicated to preserving safe, transparent, and federally supervised access to prediction markets.”

The alliance’s remit is double-pronged, namely to promote federal regulation via the Commodity Futures Trading Commission (CFTC), while fighting legal and PR battles against state gaming regulators intent on blocking their services.

In the release, CPM Executive Board Member Sara Slane, who is also Kalshi’s Head of Corporate Development, stated: “We spent years working with the CFTC because prediction markets must operate with strong federal safeguards that prevent insider trading, protect consumers, and ensure these markets remain transparent and corruption-free.”

The CPM came down hard on state regulators, stating that leaving the “disparate state regimes to govern prediction markets undermines the very guardrails that keep markets fair and prevent insider advantage.” 

“The coalition will defend against state-level overreach, including issues tied to sports, elections, and financial and economic indicators.”

Prediction markets have already divided the gambling industry, with the likes of FanDuel and DraftKings departing Nevada to pursue their own events betting markets, and resigning their memberships with the American Gaming Association (AGA). The AGA recently hit out at prediction markets on a social media ad campaign with the tagline “it’s still sports betting,” to underline the scale of the ongoing PR and legal battles playing out in the US.

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