Legal

American Gaming Association boosts lobbying spend on prediction markets and sports betting

Published Jul 20, 2026Updated 6h ago

The American Gaming Association increased its lobbying spending to influence federal policy on sports betting and prediction markets, Legis1 reported on July 20, 2026. The trade group urged Congress to curb prediction markets offering nationwide sports betting, arguing such products undermine state-regulated sports wagering frameworks. The escalation signals intensified industry opposition to CFTC-regulated event-contract platforms as lawmakers weigh multiple federal bills.

Why this matters?

The AGA spending surge turns the gaming trade group into a well-funded third front against Kalshi and Polymarket, alongside the bipartisan Senate ban bill and the CLARITY Act. Casino operators bring deep congressional relationships that startups lack. For both platforms, this means defending sports contracts against an opponent with three times prior firepower and incentive to paint prediction markets as regulatory arbitrage.

The AGA argument echoes state attorneys general in New York, Michigan, Illinois, and New Mexico. Traders now face risk from federal legislation, state courts, and industry lobbying simultaneously. AGA muscle makes a sports-contract ban more credible on the Hill. The platforms must split resources between courtrooms and Capitol Hill lobbyists.

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