Ex-New Jersey Governor calls for action on prediction markets

• Former NJ Gov. Chris Christie calls for tougher action on prediction markets
• He believes that the companies are offering unlicensed and illegal gambling
• Consumers under the normal sports betting age are targeted, thus

Former New Jersey Governor Chris Christie believes that the time has come for regulators and lawmakers to weigh in on the issue of prediction markets, as well as interactive gambling. Speaking at the Granite State Summit on Responsible Gaming on Thursday, September 24, in New Hampshire, the former governor said that the time to address prediction markets has come.

The time to act against prediction markets is now, says former Gov. Chris Christie

"It has gotten away from everybody," Christie said, arguing that prediction markets as well as internet-based gambling in general need to be addressed. Christie specifically described prediction markets as "unlicensed" and "unregulated" sports betting companies that are pulling in significant profits from their activity.

His words are echoed by New York’s Attorney General, Letitia James, who filed a lawsuit against Polymarket U.S., a popular local platform offering event contracts, and sports event contracts in particular.

Christie urged lawmakers and officials to not delay action: "Stop them from operating in your state. Send them a cease-and-desist letter, and if they don't cease and desist, then sue them in New Hampshire. Go right at them, because they're sticking it to your state from a public health perspective, from a revenue perspective."

He urged state Attorneys General to step up and act now, and further referred to Kalshi and Polymarket, arguing that the companies have been targeting youths to entice them to place sports bets while sportsbooks cannot offer their products to anyone under the age of 21.

Conversely, prediction markets can legally accept anyone who is at least 18 years of age. However, there is a key moment to mark here. Prediction markets are federally regulated under the Commodity Futures Trading Commission (CFTC), and they are not, in fact, subject to state gambling laws, the argument runs.

State gaming regulators, and Christie as well as other former and current lawmakers, however, maintain the argument that was put forward in New Hampshire. In other words, prediction markets are skirting gambling laws to offer essentially the same product.

States are already up in arms against the sector

"They say, 'Oh, we are not a sports betting company; we are a commodity called the Rams minus 6 and a half," Christie insisted, driving in his conclusion: "Here’s the truth. These are betting companies operating in New Hampshire as we speak in an unlicensed way."

Christie noted that prediction markets do not pay tax rates as high as 50% in New York, referring to the sports betting tax there. Despite his opposition and mounting pushback from states, it is not yet clear whether prediction markets will go. They are backed by prominent Washington, D.C. elites, including President Donald Trump and his sons.

Regardless, regulators, AGs, and lawmakers are pursuing a course of collision with the sector, and as Christie’s remarks note, are unlikely to back down.

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