Congress has yet to translate months of debate over sports betting and prediction markets into federal legislation, despite bipartisan concern that both industries require stronger oversight. Lawmakers continue to examine consumer protections, market integrity, and regulatory authority, but several proposals have failed to advance as the legislative calendar narrows.
The stalled effort comes as sports wagering continues to expand across the United States and prediction market platforms attract more users by offering contracts tied to political, economic, and sporting events. At the same time, lawsuits over regulatory jurisdiction continue to unfold in multiple states.
Legislative Proposals Lose Momentum
One of the most closely watched measures, the SAFE Bet Act, seeks to establish minimum federal standards for online sports betting while limiting practices viewed by supporters as harmful to consumers, particularly younger bettors. Introduced by Sen. Richard Blumenthal, D-Conn., and Rep. Paul Tonko, D-N.Y., the proposal has yet to gain meaningful traction in Congress.
The Senate Commerce, Science and Transportation Committee also examined sports betting and prediction markets during a May hearing that focused on marketing practices, integrity monitoring, and consumer safeguards. Although lawmakers expressed interest in pursuing legislation, no standalone bill has advanced.
A separate proposal, the bipartisan Prediction Markets Are Gambling Act introduced by Sens. Adam Schiff, D-Calif., and John Curtis, R-Utah, would prohibit platforms regulated by the Commodity Futures Trading Commission (CFTC) from listing sports-related event contracts or casino-style games. The bill remains before the Senate Agriculture, Nutrition, and Forestry Committee.
Oversight Debate Continues
Lawmakers have raised concerns that major sportsbooks, including FanDuel and DraftKings, have not done enough to prevent corruption or protect consumers while expanding their businesses. Questions have also emerged over partnerships between sportsbooks and professional leagues, teams, and athletes.
Prediction markets have faced separate scrutiny after reports that government employees used event contracts tied to sensitive information. One widely reported case involved a White House teleprompter operator who placed wagers on the contents of a presidential speech before being placed on leave.
Sen. Adam Schiff also questioned whether the CFTC has sufficient resources to oversee prediction markets.
“Not only has the CFTC not made this a priority; but they’ve also devastated the enforcement staff,” Schiff said. “They don’t have the capacity. It’s just another reason they shouldn’t be the sole regulator of this.”
Observers increasingly believe comprehensive legislation is unlikely before the midterm elections. For now, disputes over sports betting and prediction markets continue through court cases, regulatory actions, and state-by-state oversight rather than new federal legislation.
Source:
“Congress hits a wall on reining in sports betting, prediction markets”, thehill.com, July 27, 2026
The post Congress Stalls on Sports Betting Reform Efforts first appeared on RealMoneyAction.com.