Coalition for Prediction Markets CEO: We believe prediction markets should be federally regulated

Summary

Sean Maloney, CEO of the Coalition for Prediction Markets and a former congressman, argues that prediction markets should be federally regulated by the CFTC rather than by a patchwork of state casino regulators. He says the industry is growing and widely used, but faces insider-trading and consumer-protection concerns, especially involving unregulated offshore platforms like Polymarket. The discussion also covers the coalition formed by Robinhood and Crypto.com, opposition from the American Gaming Association and sportsbooks, and limits on contracts tied to war, terrorism, or violence.

• Coalition for Prediction Markets is led by former Congressman Sean Maloney.
• The group wants federal CFTC regulation instead of state-by-state rules.
• Maloney cites insider-trading, KYC, and AML protections as key reasons.
• A $400,000 Maduro-related trade on Polymarket raised insider-trading concerns.
• Robinhood and Crypto.com are coalition members; Polymarket is not.
• American Gaming Association and sportsbooks see prediction markets as a threat.
• Maloney says CFTC standards should block contracts tied to war, terrorism, or violence.
• Prediction markets are described as an evolving asset class with millions of users.