Key Moments:
- Multiple board members and state affiliates have exited the National Council on Problem Gambling (NCPG) following a partnership with Kalshi announced in May
- NCPG’s President reaffirmed the organization’s stance that prediction markets are a form of gambling and carry similar risks
- Ohio, Michigan, Nevada, and Washington have left the NCPG, and further exits have been suggested in response to the deal
Leadership Departures Highlight Organizational Divide
The National Council on Problem Gambling (NCPG) has encountered a wave of departures among its leadership and state affiliates following its recently formed partnership with prediction market platform Kalshi. Jaime Costello, Director of Programs and head of the national gambling addiction helpline, resigned earlier in the week, citing an environment she “could no longer reconcile with how I believe this work should be done.”
Subsequent to this decision, affiliates from Michigan, Nevada, Ohio, and Washington also withdrew their membership in the council after the agreement with Kalshi was established in May.
Official Response and Reiterated Concerns
NCPG Board President Derek Longmeier responded by issuing a statement to clarify the council’s position. He emphasized that the NCPG maintains neutrality regarding the legality of prediction markets, but is not neutral on the potential harms they may cause.
Longmeier called prediction markets “gambling,” noting their rapid rise in popularity, especially among younger demographics. “Regardless of how prediction markets are currently legally defined, NCPG believes it is functionally gambling and can expose consumers to many of the same risks and harms associated with traditional gambling,” he stated. He further warned of the unprecedented speed and scale of exposure, stating that consumer protections have not kept pace.
Survey Findings and Advocacy for Safeguards
Findings from a Harris Poll commissioned by the NCPG revealed that 85% of Americans believe prediction markets can contribute to unhealthy or addictive behavior. Moreover, 84% support treating prediction markets the same as gambling for consumer protection purposes.
The NCPG reiterated its focus on harm reduction and consumer protection, independent of regulatory definitions. “We are not neutral on the need to prevent and reduce gambling-related harm wherever it occurs,” Longmeier said. He reaffirmed that for over fifty years, the council’s mission has been to support those impacted by gambling, regardless of official classifications.
He outlined specific safeguards the council intends to promote, including self-exclusion features, age verification, prominent risk warnings, and direct connections to support services.
Donor Influence Addressed
Longmeier also addressed concerns over donor relationships, specifying that the NCPG is supported by its members and donors, many of whom are gambling operators. He clarified that “donor engagement does not mean endorsement” and emphasized that donors do not influence the council’s independent research, advocacy, or communications.
The NCPG extended an open invitation for collaboration with gambling companies, sports leagues, prediction platforms, regulators, policymakers, and treatment professionals to strengthen consumer protections.
States Oppose Kalshi Partnership, Citing Ongoing Litigation and Regulatory Disagreement
The partnership deal made Kalshi a “platinum member” of the NCPG and included a pledge of $2 million spread over two years, along with a seat in the Leadership Circle. The agreement outlined collaborative goals such as expanding educational materials, promoting responsible trading, and boosting consumer awareness initiatives.
Nevertheless, several state regulators have voiced strong resistance to the collaboration. The Ohio Casino Control Commission confirmed its withdrawal in June, referencing ongoing litigation with Kalshi and a pending $5 million fine against the company. Michigan, Nevada, and Washington also ended their affiliations, while Maryland’s Lottery and Gaming Control Agency chose not to renew its membership, as reported by SBC News.
Illinois officials expressed support for states that have severed ties, and Pennsylvania’s Gaming Control Board acknowledged those decisions but retained its own membership.
Longmeier maintained that younger Americans are increasingly engaged with prediction platforms, stressing the need for swift action on consumer protection: “The infrastructure to protect consumers has to move as fast as the platforms reaching them. Right now, it isn’t,” he said in the Wednesday release.
Looking Ahead
The NCPG concluded its statement by reaffirming its commitment to evidence-based action, transparency on gambling-related harm, and an ongoing push for robust safeguards, as it continues to navigate the internal disputes sparked by the Kalshi partnership.
| State Affiliate | Status Post-Kalshi Partnership | Reason/Context |
|---|---|---|
| Ohio | Withdrawn | Ongoing litigation with Kalshi, pending $5 million fine, regulatory opposition |
| Michigan | Withdrawn | Opposition to Kalshi partnership |
| Nevada | Withdrawn | Opposition to Kalshi partnership |
| Washington | Withdrawn | Opposition to Kalshi partnership |
| Maryland | Did not renew membership | Opted out post-partnership (SBC News) |
| Pennsylvania | Membership maintained | Respects withdrawal by others but has not followed suit |
- Author
Daniel Williams
