Organizations Urge Congress to Ban Sports Betting on Prediction Markets in CLARITY Act

Crypto Insight Summary: Several national gaming and tribal organizations and labor groups have reportedly called on the US Senate to add language “that explicitly prohibits event contracts tied to sports and casino-style gaming” in the Digital Asset Market Clarity (CLARITY) Act. According to a Wednesday Semafor report, groups tied to sports betting, including the Indian Gaming Association and American Gaming Association have [united](https://www.semafor.com/article/06/16/2026/gaming-industry-unions-push-for-prediction-market-rules-in-crypto-bill) against what they called gambling on prediction markets. They requested that the US Congress use the CLARITY Act now under consideration in the Senate to affirm that “sports betting falls outside the [Commodity Futures Trading Commission’s] remit and cannot be offered through prediction market platforms.” “While our organizations may differ on other issues, including gambling policy, we are united in our concern that prediction markets have fueled the largest expansion of gambling in US history over the past 18 months — without voter approval or legislative authorization,” said the letter. _Source:_[_Semafor_](https://cdn.sanity.io/files/ifn0l6bs/production/574c17e418708f0bfbae306b566241ae710a9a76.pdf) Crypto Insight Analysis: Direction: Bearish GT / Bearish BNB / Bearish HT / Bearish KCS / Bearish OKB Impact: Minor Impact Horizon: Short-term (1-3 days) Reasoning: Regulatory pressure on prediction markets may deter platform token adoption and trading volumes.