29 Jul 2026
Bipartisan Bill Targets Prediction Markets as Traditional Gambling
Representatives Steven Horsford from Nevada and Mark Amodei from the same state introduced the Prediction Markets Are Gambling Act in the House during July 2026 as a bipartisan effort to address event contracts on federally registered platforms, and the measure seeks to treat these offerings the same way as state-regulated sportsbooks.
The legislation arrives as a companion to a Senate proposal from earlier in March, and it focuses on closing what supporters describe as a regulatory gap that allows certain platforms overseen by the Commodity Futures Trading Commission to offer sports and casino-style bets without state oversight.
Details of the Proposed Legislation
Horsford and Amodei crafted the bill to prohibit CFTC-registered platforms from listing contracts tied to sports outcomes or casino games, which means operators would fall under state and tribal gaming rules instead of federal derivatives oversight, and this shift aims to align prediction markets with existing frameworks that already govern traditional betting activities.
Backers point to estimated losses in state gaming tax revenue that exceed one billion dollars annually, while the proposal also highlights consumer protection standards and the need to maintain Nevada's established gaming sector as reasons for the change, and multiple organizations including the American Gaming Association have expressed support for the approach.
Industry and Union Backing
The American Gaming Association joined UNITE HERE along with the Culinary Workers Union in endorsing the measure, and these groups argue that the current setup creates uneven competition because prediction market platforms operate outside the licensing and taxation requirements that apply to Nevada operators and similar state systems.
According to statements from the bill sponsors, the legislation preserves state authority over gambling activities while directing event contracts toward regulators who already handle sportsbooks and related venues, and this structure would require platforms to comply with local laws where they seek to offer such products.
Observers note that the companion Senate bill laid groundwork for the House version, and the paired efforts reflect growing attention to how prediction markets intersect with broader gaming policy across multiple jurisdictions.
Impact on Regulated Gaming Sectors
Nevada's gaming industry stands to benefit from clearer boundaries under the proposal because operators there already adhere to strict licensing and revenue-sharing rules, whereas the bill would prevent federally registered platforms from bypassing those same standards when offering comparable contracts, and supporters say this levels the field for tax collection at both state and tribal levels.
Data from industry reports indicate that prediction market activity has expanded in recent years, which prompted lawmakers to examine whether existing CFTC oversight sufficiently addresses sports-related and casino-style offerings, and the new act responds by reclassifying those contracts as gambling products subject to state control.
Regulatory Context and Timeline
The bill's introduction in July 2026 follows months of discussion around event contracts, and it builds directly on the March Senate companion that first raised the issue of treating prediction markets like traditional sportsbooks, while the House measure adds specific language to prohibit such offerings on platforms under federal derivatives registration.
Those who've tracked similar legislation note that the bipartisan sponsorship from Horsford and Amodei signals cross-party agreement on protecting state revenue streams and consumer safeguards, and the measure now moves through the legislative process where committees will review its provisions alongside input from affected stakeholders.
Key Provisions and Supporters
The act explicitly names sports and casino-style event contracts as the targets of the prohibition, which prevents CFTC platforms from continuing to offer them without state approval, and it reinforces that these products fall under the same regulatory umbrella that covers licensed sportsbooks in Nevada and other states.
Additional endorsements came from labor organizations that represent workers in the gaming sector, and these groups emphasize that consistent regulation supports both employment standards and tax contributions that fund public services, whereas the current framework leaves gaps that the bill seeks to close.
Conclusion
The Prediction Markets Are Gambling Act represents a coordinated federal effort to align event contract offerings with state and tribal gaming rules, and its progress will depend on further legislative action in both chambers during the 2026 session, while industry associations and unions continue to monitor developments that affect regulated operators and revenue collection.