Prediction markets and opponents increase lobbying in Congress

Prediction markets companies Kalshi and Polymarket, along with casino and gaming interests, are spending more on lobbying as Washington weighs how to regulate the fastgrowing sector. Kalshi reported $990,000 in lobbying spending in the first half of 2026, or nearly $1.8 million including outside firms, according to filings. That is above what the company spent during all of 2025. The American Gaming Association and other gamblingrelated groups have also increased their efforts, while a firm representing Polymarket said its spending is on track to match last year. The debate comes as lawmakers and regulators scrutinize whether event contracts should be treated like financial products or like sports betting. Congress has seen several proposals this year aimed at insider trading and restricting certain contracts tied to sports, elections and other events. Despite the pressure, analysts say broad legislation is unlikely before the November elections. The article notes that the federal Commodity Futures Trading Commission is also reviewing proposed rules, making the regulator a key focus for the industry and its critics.