Trump plan tightens some sports bets but keeps most prediction markets open

The Trump administration proposed new federal rules for prediction markets that would create a framework to restrict certain sports bets vulnerable to manipulation, including contracts on player injuries, officiating outcomes, and the first pitch in baseball (and even markets on high school sports). Regulators would gain tools to curb specific bets while largely preserving the broad activity of sports-related markets and other event contracts, keeping most trades on platforms like Kalshi and Polymarket allowed. Critics say the plan falls short of robust protections and push for stricter rules (such as a higher age limit or banning certain prop bets), and state lawmakers have argued for broader prohibitions on sports bets. The CFTC’s chair framed the proposal as protecting market integrity while enabling legitimate innovation. CNN’s reporting notes industry and political pushback, and the article notes that these rules would not revert to Biden-era restrictions that aimed to ban election bets; CNN also notes its partnership with Kalshi.