Legislators Aim to Stop Politically‑Charged Betting

Senators and a representative introduced a new bill that would bar bets on elections, wars, and sports. The move follows recent wagers that predicted big events such as a Venezuelan president’s ousting and a Middle East conflict. Critics argue that allowing anyone to bet on government actions invites corruption and weakens public confidence. The proposal is led by Democrat Jeff Merkley, Elizabeth Warren and Republican Jamie Raskin. They claim the legislation will protect democratic institutions from being turned into a gambling venue. The bill would also give states more control over what counts as legal betting. Other lawmakers are tightening rules too. Senators Adam Schiff and Republican John Curtis want to stop sports‑related contracts, saying they resemble unregulated gambling.Kalshi, a platform that offers such bets, said the bill protects casino interests more than consumers. A bipartisan group also plans to forbid members of Congress, the president and other officials from trading in certain markets. Similar proposals were introduced earlier by Merkley and Senator Amy Klobuchar. In response, Kalshi and Polymarket announced new measures to prevent insider trading on their sites. The new law would require the Government Accountability Office to study prediction markets and insider trading. State regulators have sued over 20 times, arguing that these platforms create a loophole for gambling. The bill would clarify that prediction markets conflict with federal contract‑trading laws and restore state authority.