US gaming industry urges ban on prediction market sports betting in crypto bill

The U.S. gaming industry has joined forces with unions and Native American tribal groups to urge Congress to include a provision in a pending cryptocurrency bill that would block sports betting on prediction market platforms like Kalshi, Semafor reported. The American Gaming Association (AGA), the Indian Gaming Association, and the hotel and gaming workers' union UNITE HERE, part of the AFL-CIO, argue that prediction markets have caused the largest expansion of gambling in U.S. history over the past 18 months without legislative approval. The coalition is demanding that Congress use the crypto bill to codify the principle that sports betting falls outside the jurisdiction of the Commodity Futures Trading Commission (CFTC) and should not be permitted on these platforms. Last month, the AGA estimated that states lost $1 billion in 2025 due to prediction markets, a figure the industry disputes.