Episode Details
Back to Episodes
PM 101 | Ep 3: US Prediction Market Legality
Published 1 month, 3 weeks ago
Description
For years, prediction markets in the U.S. operated in a legal gray area, but new regulatory shifts have brought these platforms into the light. In this episode, we explore the two parallel systems governing the industry: federal oversight by the CFTC and state-by-state regulation from gaming commissions. We break down the practical differences between event contracts and sports betting exchanges so you can trade with confidence.
- The distinction between federal regulation (CFTC) and state-level gaming laws.
- Kalshi vs. SportTrade: Analyzing the two dominant business models.
- The "No Sports Rule" and how platforms use workarounds for quantifiable event outcomes.
- Geofencing and location requirements for state-regulated exchanges.
- How trading fees and liquidity impact your bottom-line profitability.
Opinions expressed are for informational purposes only. Bet responsibly.
Contact: feedback@predictionmarketshq.com
"Nowhere Land"
Kevin MacLeod (incompetech.com)
Licensed under Creative Commons: By Attribution 4.0
http://creativecommons.org/licenses/by/4.0/