The Federal Trade Commission is reportedly taking its first hard look at online sports betting. According to the Washington Sun, political appointees and career staff are reviewing sportsbooks such as FanDuel and DraftKings, most likely over deceptive advertising. DraftKings says it hasn’t received a civil investigative demand (the FTC’s version of a subpoena), and FanDuel says it hasn’t heard a word from the agency.
Prediction markets like Kalshi and Polymarket reportedly aren’t part of the review. Yet three out of four Americans consider them gambling, according to a new Reuters/Ipsos poll.
The ‘event contract’ pitch
Prediction markets insist they aren’t gambling. You’re not placing a bet, they say. You’re trading an “event contract”: buy a contract on whether something will happen, and if you’re right, it pays out
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