Survey shows strong support for state oversight and tighter controls on betting-style platforms
A new national survey from the American Gaming Association (AGA) confirms what many players already think: if you’re staking money on the outcome of a game, it’s gambling — no matter what the platform calls it.
Prediction markets let users place real-money bets on sports results, but label them as “event contracts” to avoid gambling laws. That loophole isn’t fooling most people. According to the survey, 85% of Americans say these are clearly bets, not financial instruments. Only 6% saw them as anything different.
Platforms Accused of Dodging the Rules
The public sees a problem with how these sites operate. Seventy percent of those surveyed believe prediction platforms are taking advantage of regulatory loopholes to act like unlicensed sportsbooks. Nearly half of respondents strongly agreed with that statement.
Bill Miller, president and CEO of the AGA, put it plainly: “Americans know a sports bet when they see one — and they expect these markets to follow the same rules as every other legal sportsbook.”
State Regulators, Not Wall Street Watchdogs
Most respondents want these platforms regulated by the same state-level gaming authorities that oversee sportsbooks. Sixty-five percent said state and tribal regulators — not federal financial agencies — should be in charge of oversight.
The survey also found that 84% of Americans believe these contracts should only be available through state-licensed sportsbooks. And 69% said individual states should be able to decide whether to allow them at all.
Players Want Licensing and Protection
When it comes to legality, the message was loud and clear: only licensed operators should be allowed to offer these bets. Just 16% of Americans supported letting prediction platforms run without a state license. The vast majority — 84% — said they should follow the same licensing process as any sportsbook.
Responsible gambling was another area where the public wants more accountability. Sixty-four percent of respondents said both regulators and companies should be responsible for protecting players. Only 36% felt the burden should fall solely on individuals.
The Bigger Picture
Sports betting is now live in 38 states and Washington, D.C. The AGA says this research shows strong public support for keeping things consistent — with clear rules, licensed operators, and consumer protections in place for all forms of betting.
For online players, the takeaway is simple: whether it’s a traditional sportsbook or a prediction market, if you’re betting on sports, it should be legal, licensed, and held to the same standards.
