Economy

Prediction Markets Surge in US Amid Calls for Gambling Regulation

As prediction markets flourish in the US, public health advocates warn of rising gambling addiction. Following Donald Trump's endorsement, platforms like Polymarket and Kalshi are rapidly expanding, particularly in states where gambling is traditionally banned. Experts highlight the need for adequate public health resources to address gambling-related issues, which are currently lacking. With the industry booming, advocates call for immediate action to prevent addiction from spiraling further out of control.

MBN World Reporter

MBN World Reporter

Jun 22, 2026

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Key Takeaways

  • Public health advocates warn of rising gambling addiction
  • Prediction markets grow amid regulatory challenges
  • Inadequate resources for gambling addiction treatment

One very worrying trend is building up in United States rn,where prediction markets are suddenly becoming part of normal entertainment culture . And honestly,public health advocates are not overreacting here because this does look like gambling getting repackaged in cleaner language.

After Donald Trump 's endorsement of these platforms,concern has grown even more . These apps let users bet on so many things,sports outcomes,entertainment awards and other public events . So slowly,what earlier looked like gambling starts feeling like just another online activity.

And that is where problem starts getting uncomfortable.

Big names are already pushing hard . Kalshi has marketed itself around high-profile events like NBA Finals,while Polymarket has shown up in different spaces,including recent UFC event at the White House . This is not some hidden corner of internet anymore ah,it is entering mainstream spaces very fast.

Since US Supreme Court overturned federal ban on sports betting in 2018,online gambling industry has grown at massive speed . Sports betting is now legal in 39 states and Washington D.C. But prediction markets are using different regulatory framework,which makes whole issue even more complicated.

Supporters say these platforms are not traditional gambling,but “event derivatives” . That one phrase is doing lot of work only,because it helps them avoid many state-level gambling rules . Because of this,they are also gaining ground in places like Utah and Hawaii,where gambling remains illegal,even though legal challenges are still going on.

Few things standing out clearly here:

  • Experts warn wider access to gambling can increase number of people facing addiction issues .
  • Multiple lawsuits are questioning classification of prediction markets under state gambling laws.
  • Public health resources for gambling addiction are far lower than for tobacco and alcohol.

Addiction psychiatrist Timothy Fong from UCLA has also raised concern about how normal gambling is becoming . His point is simple but serious: when access increases,participation in risky behavior also increases . And current support system does not look ready for that pressure.

He also pointed out funding gap very clearly . California allocates only about ₹9 million annually for gambling addiction issue,while alcohol and tobacco-related problems receive hundreds of millions . That difference says a lot about priorities.

White House has responded by supporting executive actions and legislation aimed at innovation in gambling sector . But there is still no dedicated federal funding stream for gambling addiction treatment . In states like Utah,where anti-gambling laws are strict,people looking for help do not have state or federal resources available.

And that leaves one uncomfortable question hanging… if gambling is being made easier,more normal and more available,then who is actually responsible when people start losing control?

Source: guardian-us
#Donald Trump#prediction markets#Polymarket#Kalshi#gambling addiction#public health#US Supreme Court#legal battles#addiction resources#CFTC

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