‘No More Sports Bets’ – New Bill Targets Kalshi, Polymarket

U.S. senators have introduced a bipartisan bill to prohibit sports betting on prediction markets like Kalshi and Polymarket. This legislation targets the blurring line between financial trading platforms and gambling. Introduced on March 23, 2026, by Democratic Sen. Adam Schiff of California and Republican Sen. John Curtis of Utah, the bill amends the Commodity Exchange Act.

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It bans contracts settling on sports events or casino-style games, like poker or blackjack, from platforms regulated by the Commodity Futures Trading Commission (CFTC). Prediction markets treat these trades as “event contracts,” bypassing state-licensed sportsbooks like FanDuel FLUT +4.36% ▲ or DraftKings DKNG +1.23% ▲ .

Sports Betting Risks Manipulation

The bill addresses concerns that sports predictions on Kalshi and Polymarket act as unregulated, nationwide bets. Traditional sports betting has adhered to state laws since the 2018 Supreme Court ruling, but CFTC oversight allows prediction markets to skirt these rules. Kalshi’s Super Bowl trading hit over $1 billion this year, up 2700% year-over-year, fueling the debate.

Lawmakers argue these are “sports bets, just with a different name,” violating state and federal laws. The bill spares state-regulated operators while forcing platforms to drop sports and casino markets for CFTC compliance. Polymarket, which operates in a U.S. gray area, would also halt such offerings.

This first Senate bipartisan effort signals rising scrutiny of prediction markets’ $4.5 billion weekly volumes. Popularity on these platforms has soared for politics, weather, and sports trading, but sports bets now dominate. If the bill passes, it redraws lines between innovation and gambling.

Kalshi Blocks Insider Trading to Curb Manipulation

Facing strict rules, Kalshi is tightening measures against insider trading and manipulation in political and sports markets. It now proactively bars athletes, officials, and politicians from relevant trades, which were previously banned but not always enforced.

Kalshi will prohibit political candidates from trading contracts tied to their own campaigns. It will also preemptively bar anyone affiliated with college or professional sports (players or staff) from betting on markets related to the leagues or teams they are involved with.

The changes align with CFTC guidance and pending congressional bills targeting sports-related event contracts for CFTC-regulated firms. Kalshi is also launching a whistleblower feature for users to report suspicious activity early, aiming to standardize practices with regulators and stakeholders as its valuation doubled to $11 billion in December 2025.

Is Kalshi Publicly Traded?

Kalshi is a private company with no announced plans for an IPO (initial public offering). Check TipRanks’ Private Companies Center for updates on similar firms eyeing public markets.

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