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March 25, 2026 - Washington, D.C. – U.S. Senator Catherine Cortez Masto (D-Nev.) has joined Senators Adam Schiff (D-Calif.) and John Curtis (R-Utah) in supporting the Prediction Markets Are Gambling Act, bipartisan legislation to prohibit Commodity Futures Trading Commission (CFTC) registered entities like Polymarket and Kalshi from listing any prediction contracts that resemble a sports bet or casino-style game. In doing so, this legislation reinforces Congress’ original intent that the Commodity Exchange Act does not permit sports gambling and removes any ambiguity in the statute. 

“For the entirety of President Trump’s second term, the CFTC has abdicated its responsibility to prevent illegal gaming on prediction markets,” said Senator Cortez Masto. “It’s past time to take the CFTC’s decision-making out of the equation. Event contracts dealing with sports and casino games are nothing more than gambling and fall entirely within the jurisdiction of tribes and states.”

“Sports prediction contracts are sports bets — just with a different name. And yet, these contracts have been offered in all fifty states in clear violation of state and federal law. Rather than enforce the law, the CFTC is greenlighting these markets and even promoting their growth. It’s time for Congress to step in and eliminate this backdoor which violates state consumer protections, intrudes upon tribal sovereignty, and offers no public revenue. I’m proud to partner with Senator Curtis to put a stop to these illegal markets,” said Senator Schiff.

“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. The Prediction Markets Are Gambling Act is about respecting states’ authority, protecting families, and keeping speculative financial products out of spaces where they don’t belong,” said Senator Curtis.

For fifteen years, the CFTC used its authority to prohibit the listing of a contract that involves, relates to, or references “gaming.” However, the CFTC and its Chair have abruptly reversed course – intervening in ongoing litigation and proceeding with rulemaking to significantly relax the CFTC’s enforcement of this clause. Now, the CFTC is entering into partnerships with entities like Major League Baseball to further facilitate these markets’ growth. 

As a result of this non-enforcement, CFTC-registered entities now offer a wide range of sports event contracts that are indistinguishable from gambling. Prediction market platforms currently list sports contracts with tens of millions of dollars in trading volume: for example, a wager on who will be the March Madness winner already has more than $100 million in trading volume, while Super Bowl trading volume on prediction markets surpassed $1 billion earlier this year.

These contracts are listed in all 50 states, including states that have restrictions or prohibitions on sports betting. These contracts evade state and tribal consumer protections, generate no public revenue, and undermine sovereign tribal regulatory regimes. These contracts are also offered in states where gambling is restricted or illegal.

Read the full bill here. 

Senator Cortez Masto is a champion of Nevada’s tourism and gaming economy. Following the passage of the Republican tax law, which imposed greater taxes on gamblers, Cortez Masto introduced the FULL HOUSE Act to restore the 100% tax deduction on gambling losses. Last September, she introduced the WAGER Act, bipartisan legislation to protect legal sportsbooks and gaming businesses and help states like Nevada and Tribal communities reinvest their gaming revenues into their local economies. Senator Cortez Masto has previously led her colleagues in reminding the CFTC of their responsibility to prevent illegal gaming, requesting the CFTC do more to combat insider trading, manipulation, and fraud in prediction markets, and calling on CFTC Chair Selig to abstain from intervening in pending litigation involving prediction markets.

Source: Senator Catherine Cortez Masto