Legal

Three members of Congress renew criticism of FanDuel VIP program

Published Sep 3, 2026Updated 3h ago

Three members of Congress renewed criticism of FanDuel's VIP program September 3, 2026, after the company submitted answers the lawmakers called incomplete. The legislators said FanDuel Predicts, the company's prediction market, could help address their concerns. The lawmakers contend the prediction market product undermines existing regulatory frameworks. FanDuel has not yet provided the additional information requested.

Why this matters?

FanDuel Predicts is now caught between federal CFTC registration and a congressional faction that treats it as a regulatory escape hatch. The lawmakers' framing — that the prediction market undermines or bypasses existing rules — mirrors the state-attorney-general argument already stripping Kalshi's federal shield in Nevada, Connecticut, and Baltimore.

For FanDuel, the VIP probe creates parallel reputational risk across its sportsbook and prediction-market lines at a moment when Congress is weighing the Schiff-Curtis bill to bar sports wagers outright. Any concession made to mollify these three members could be cited by state litigators as an admission that prediction markets need stricter gambling-style controls. The company's answers are due under implicit deadline pressure; another round of incomplete responses risks formal subpoena or committee referral.

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