Representative Dina Titus of Nevada has reiterated her demand for federal intervention concerning prediction markets that provide sports and casino-style contracts. She argues that these platforms are functioning beyond the oversight of state and tribal regulations that govern legal gambling.
During her address at the 19th Conference on Gambling & Risk Taking held at the Bellagio in Las Vegas, Titus, who co-chairs the Congressional Gaming Caucus, emphasized that the gaming sector can no longer afford to remain passive as innovative betting products and technologies emerge.
“Historically, the gaming industry has taken a defensive stance, hoping to avoid federal intervention, taxation, and regulation,” Titus stated. “However, with the rapid expansion of gaming, the advent of new technologies, and various threats to the industry, this approach is no longer viable.”
The International Gaming Institute at the University of Nevada Las Vegas organizes this conference every three years, attracting over 500 participants, including researchers, regulators, academics, professional gamblers, and industry stakeholders from more than 25 nations.
Titus pointed out that prediction markets have not received authorization from Congress or the U.S. Supreme Court’s 2018 ruling, which invalidated a federal ban on sports betting and allowed its proliferation across 38 states and Washington, D.C.
She expressed concern that platforms offering contracts based on sports outcomes are evading the necessary safeguards mandated for licensed operators, such as anti-money laundering measures, age verification, responsible gaming practices, and state licensing.
In response, Titus has proposed the Fair Markets and Sports Integrity Act, which aims to prevent platforms like Kalshi and Polymarket from offering contracts related to sports and casino-style games without appropriate state licenses. Prediction market operators have claimed jurisdiction under the Commodity Futures Trading Commission (CFTC), a stance that is contested by state and tribal gaming authorities.
“This isn’t about hindering innovation or stifling competition,” Titus clarified. “It’s simply about ensuring that if you want to engage in sports betting or any casino betting, there must be a level playing field.”
Titus raised doubts about whether the CFTC possesses the necessary expertise or resources to regulate gambling effectively. She also noted that integrity monitoring for sports betting, which legal sportsbooks utilize to identify unusual betting patterns and avert scandals, would not function efficiently in an unregulated environment.
Additionally, Titus has introduced the Fair Bet Act in Congress, which seeks to restore the full deduction for gambling losses, which was recently reduced from 100% to 90%. She also supports increasing the slot tax threshold to $5,000 following its recent adjustment to $2,500.
Moreover, she advocates for the Discriminatory Gaming Tax Repeal Act, aimed at abolishing the 0.25% excise tax on sports wagering, arguing that the Treasury Department lacks transparency regarding the allocation and usage of these funds.
Titus concluded by stating that Nevada continues to serve as a benchmark for gaming regulation, emphasizing that public trust hinges on fair games, accountable operators, consumer protection, and competitive integrity.