Key Moments:
- 80% of surveyed registered voters say sports event contracts should be regulated like traditional gambling
- 70% of respondents express concern that prediction markets are exploiting regulatory loopholes
- 64% believe regulators and companies share responsibility for responsible gambling practices
Public Opinion Trends Toward Stricter Regulation
A newly published report from the American Gaming Association (AGA), using data collected by YouGov, shows a strong consensus among Americans on the need to regulate sports event contracts. The insights are drawn from an online poll of 2,025 registered voters, conducted from August 1 to August 8, and made public on September 10.
80% of respondents say sports contracts should face oversight like existing gambling activities. In addition, 85% view these contracts as gambling rather than financial products. Similarly, 80% think prediction markets should follow the same enforcement as online gambling. Moreover, 69% support letting residents decide if sports prediction contracts are legal in their states.
According to a recent @AmericanGaming online survey of 2,025 U.S. residents, 85% say sports event contracts are gambling and not a financial instrument.
Additionally, 70% believe the platforms offering the contracts are exploiting loopholes to act as unlicensed sportsbooks.
— RLinnehanSR (@RLinnehanSR) September 10, 2025
Concerns Over Loopholes and Platform Licensing
The survey reveals skepticism about prediction markets. For example, 70% believe these platforms exploit loopholes, offering sports bets without proper sportsbook licensing. In contrast, only 16% support platforms like Kalshi operating freely without a license.
Among active sports bettors, support for a sportsbook license drops from 84% to 69%. Furthermore, 65% trust state and tribal officials to regulate these platforms, while 35% prefer the Commodity Futures Trading Commission (CFTC) to oversee them.
| Survey Topic | Percentage |
|---|---|
| Contracts should be regulated like gambling | 80% |
| Identify contracts as gambling vs. commodity | 85% (Gambling) |
| Prediction markets should have gambling-like regulation | 80% |
| Believe loopholes are being exploited | 70% |
| Support for outright operation without license | 16% |
| Active bettors insisting on a license | 69% |
Debate Over Consumer Protection in Gaming
The AGA highlights continued discussions about responsible gambling, referencing a recent panel at the National Council of Legislators from Gaming States (NCLGS) summer meeting in Louisville, KY. During this panel, Josh Sterling, an attorney and former CFTC staff member serving as independent counsel to Kalshi, argued for the CFTC’s primary regulatory role over sports contracts. His statement, “People are adults, and they’re allowed to spend their money however they want it, and if they lose their shirt, that’s on them,” appeared in the AGA report and generated notable division.
Survey results show that 36% of respondents aligned with Sterling’s perspective. However, a larger 64% agreed with the AGA’s position: “People are adults, but regulators and companies that offer gambling products have a responsibility to make sure that there are tools available to bettors to help them gamble responsibly.”
Challenges and Industry Response
Sports contracts are facing considerable scrutiny amid ongoing legal disputes, such as the current litigation in California where several tribes are suing Kalshi for its claims to legality. An AGA spokesperson told SBC Americas that marketing by prediction market operators helps validate survey findings, stating such promotion “confirms what our research demonstrates and underpins our strong belief that if it’s gambling, it must only be permitted under the U.S.’s existing state and tribal regulatory frameworks.”
In response to these developments, the AGA has introduced a dedicated section on its website focused on sports event contracts. This resource brings together feedback from stakeholders, regulators, and highlights the AGA’s research efforts.
- Author
Daniel Williams
