Utah set to block prediction markets as state-federal tensions rise
CFTC Chair Michael Selig has said that the agency has authority over prediction markets like Kalshi and Polymarket and warned it will defend that jurisdiction in court if challenged.
The US state of Utah is set to block prediction market platforms such as Kalshi and Polymarket, escalating a growing dispute between state regulators and federal authorities over how the industry should be regulated.
On Wednesday, Utah’s HB243 (Gambling Revisions) bill was sent to the governor’s desk after passing the Utah House on Feb. 10 and clearing the Senate on Feb. 27. The bill defines “proposition betting” as gambling. Proposition bets are wagers on individual events within a game, such as how a specific athlete performs or whether a team reaches a certain statistic, rather than the final outcome of the game itself.
The goal of the legislation is to prevent companies from offering sports-related prediction or prop betting in Utah, including through platforms that label themselves as prediction markets rather than sportsbooks.