The NFL is calling on the Supreme Court to intervene in the regulation of prediction markets, arguing in an amicus brief submitted Thursday that state authorities already overseeing legal sportsbooks are better equipped to supervise sports-related contracts "given the current landscape."
Supporting a legal petition from New Jersey, the league wants the high court to resolve an ongoing dispute over who holds governing authority over these platforms, which allow users to trade on the outcomes of future events.
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users → call → events
While the Commodity Futures Trading Commission claims sole federal jurisdiction, individual states contend that binary, yes-or-no event contracts function like traditional gambling and fall under state oversight.
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contracts → claim → oversight
"Absent the clarity that only this Court can provide, (prediction market) operators will continue exploiting the gap between state and federal regulation, endangering consumers and the integrity of sports events across the country," legal counsel for the NFL stated in the filing.
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counsel → provide → filing
The league highlighted its massive financial presence on these platforms, noting that more than half of all trading volume on prediction markets during the opening Sunday of the current season, $1.8 billion of a $3.3 billion total, was tied to its games.
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half → highlight → games
"Any delay from the Court will result in increasing consumer harm and risk to game integrity," the NFL wrote.
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NFL → result → integrity
In response, Kalshi spokesperson Elisabeth Diana emphasized that market integrity is the platform's primary focus, citing established partnerships with Major League Baseball, the NHL, and other sports bodies.
"Contrary to the NFL’s statements, the CFTC is actively policing sports-related markets, which are now listed on nearly every U.S. commodities exchange," Diana stated.
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Diana → emphasize → exchange
"The CFTC’s ongoing rulemaking addresses many of the NFL’s supposed concerns.
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rulemaking → address → concerns
And those rules sit atop the same comprehensive system of federal enforcement that protects trillions of dollars of transactions in U.S. markets."
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that → sit → markets
A spokesperson for Polymarket noted that the platform "shares the NFL’s commitment to preserving the integrity of the game," while working toward "a harmonized federal framework that delivers a stronger, more consistent form of integrity compared to a patchwork of disconnected state laws built for a bygone era."
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that → note → era
On Wednesday, Ohio lodged a brief encouraging the justices to back New Jersey and maintain state powers to oversee prediction markets alongside casino gambling and sports betting.
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Ohio → lodge → gambling
A bipartisan coalition of 38 states joined the filing, including attorneys general from California, New York, Pennsylvania, Illinois, Missouri, Arkansas, and South Carolina.
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coalition → join → California
With roughly 20 states involved in lawsuits over prediction markets, conflicting federal appellate decisions have increased the likelihood of Supreme Court review.
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decisions → involve → review
The 6th and 9th U.S. Circuit Courts of Appeals ruled in favor of states seeking regulatory authority, whereas the 3rd U.S. Circuit Court of Appeals ruled for Kalshi earlier this year.
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Court → rule → Kalshi
"As between the two approaches, the NFL believes the Sixth and Ninth Circuits got it right, given the current landscape," lawyers for the league noted.
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lawyers → believe → league
The NFL also expressed concern regarding the CFTC’s regulatory capacity, pointing out in its brief that the agency maintains a staff of 543 employees responsible for supervising a wide range of financial derivatives beyond event contracts.
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agency → express → contracts
"Without adequate staff engaged in oversight and enforcement, even the best regulations cannot meaningfully ensure game integrity and consumer protection," attorneys wrote.
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attorneys → engage → integrity
A request for comment submitted to the CFTC went unanswered.
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request → submit → CFTC
According to the brief, the NFL previously asked the CFTC and prediction market operators to prohibit specific wagers deemed dangerous to game integrity and to raise the minimum participation age from 18 to 21, but those proposals were turned down.
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proposals → accord → 21
Diana stated that Kalshi has previously tried to work directly with the NFL on integrity measures, but received no reply.
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Kalshi → state → reply
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