White House Reviewing Prediction Markets
Mike Goodpaster Published 02/06/2026
As the White House and U.S. President Donald Trump enter the fray over the rapid expansion of prediction markets across the USA, there appears to be a growing divide among Republican Party members over how to approach the debate over prediction markets. The Trump Administration, through the Commodities Futures Trading Commission (CFTC), is looking to assert federal jurisdiction over state gambling regulations.
However, some members of the GOP, including several Republicans in state government, are standing against the federal government on this matter. They want to see the feds take measures to rein in the rapid spread of prediction market sites.
The White House and state Republicans are finding themselves at odds over prediction markets
President Trump is making it clear where he stands on the issue of jurisdiction over prediction markets. He's throwing his support behind the CFTC in its battle with state governments.
“We cannot have SCUM like Chris Christie, Letitia James, Tim Walz, and JB Pritzker setting the rules!” Trump recently stated in a Truth Social post.
The CFTC is currently engaging in legal fights in 12 states over who regulates prediction market sites.
At issue are sports event contracts offered by prediction market sites. State governments regulate all sports betting in the USA. They argue that these contracts are nothing more than sports betting in disguise.
Michael Selig was appointed Chair of the CFTC by Trump in December. He is aggressively protecting the CFTC's regulatory power over prediction markets.
“While some may harbor skepticism about innovative financial products, we firmly stand by our jurisdiction and remain committed to protecting it,” Selig wrote in a letter to the editor published in The Wall Street Journal.
“These markets provide significant benefits to individuals, businesses, and the broader economy, and we will continue to ensure their integrity and growth."
State governments are fighting the White House and the CFTC
It comes as no surprise that state governments would be battling the White House on the prediction market regulatory issue. What is surprising is how many Republican state governments are doing battle on this front with the Trump Administration.
Utah's Republican Governor Spencer Cox is adamant on this issue. He doesn't want prediction markets infiltrating his state.
“These prediction markets you are breathlessly defending are gambling—pure and simple," Cox wrote in a post on the social media site X. "They are destroying the lives of families and countless Americans, especially young men.
"They have no place in Utah.”
State Attorneys General are lobbying the CFTC
A bipartisan group of 41 state attorneys general wrote to the CFTC in April about their concerns with prediction markets. They argued that the CFTC “lacks exclusive jurisdiction over a broad range of sports-related contracts currently offered as event contracts.”
One of the more outspoken Attorney Generals was a Republican, Dave Yost of Ohio.
“This is gambling, no matter how they try to dress it up — and that means it belongs under state jurisdiction,” Yost said in a statement. “States have a longstanding right and responsibility to protect their citizens from the dangers of gambling, whether it’s on a prediction market or a casino floor.”
At the federal level, Republican Senator John Curtis of Utah is co-sponsoring a bill with Democrat Adam Schiff. It would ban prediction market sites from offering sports betting and casino-style games.
“Quite frankly, for me, it’s about preserving the states’ rights and protecting our state’s ability to do that,” Curtis said.
“We’ve made a conscious decision because of these impacts to not allow gambling of any kind in our state. So, you can see why I take a close interest whenever platforms begin offering something that feels like gambling, that talks like gambling, that smells like gambling.”