Leading companies unite to form Coalition for Prediction Markets

• The Coalition for Prediction Markets was founded by industry-leading prediction markets, including Kalshi, Robinhood, Coinbase, Crypto.com and Underdog
• The Coalition has a goal of preserving the access of Americans to safe, fair and federally supervised prediction markets
• Kalshi's Head of Corporate Development and Executive Board Member of the Coalition, Sara Slane, speaks about the importance of CFTC-regulated markets

During a time when the popularity of prediction markets across the United States grows and at the same time attracts scrutiny by gambling regulators and lawmakers, a new coalition will seek to preserve the safe, transparent and federally supervised access to such markets.

That will be the main goal of the newly founded Coalition for Prediction Markets (CPM), established under an alliance between industry leaders such as Kalshi and Crypto.com. The new broad alliance includes representatives from Robinhood, Underdog, as well as Coinbase.

Overreaching state regulators confuse the consumers, the Coalition warns

Until the end of October this year, the combined trading volume of prediction markets was close to the mind-blowing sum of $28bn.

In that context, the CPM explained in a press release that unified engagement is necessary to promote and preserve the safe and fair prediction markets.

Data disclosed by the Coalition claims that nearly half of Americans under the age of 45 have tapped into the services of an online financial or prediction market.

Ultimately, such markets are proven to outperform traditional polls by approximately 30%, enabling them to deliver real-time public insight into cultural events and popular topics, including but not limited to sports, entertainment and even politics, the CPM said.

The increasing scrutiny of some state gambling regulators and their overreach is something the newly founded Coalition will fight against.

Such overreach by state-level gambling watchdogs, which "attempt to extend their authority into a space long governed under federal law" results in confusion among the consumers and often pushes them toward the services of offshore and unregulated platforms, the CPM warned.

It further explained that the CFTC regulatory oversight of prediction markets ensures constant monitoring, fairness and integrity.

In that line of thought, the Coalition explained that 70% of the voters agree that prediction markets shouldn't fall under the same regulation as gambling, while two-thirds think that such markets need to be overseen on a federal rather than a state-by-state level, which is the case for casino gambling and sports betting.

Prediction markets follow strict federal guidelines and safeguards

Sara Slane, Kalshi's Head of Corporate Development and Executive Board Member of the Coalition, spoke on the matter, Casino Guru News learned from a press release.

"From day one, we wanted to be regulated. We spent years working with the CFTC because prediction markets must operate with strong federal safeguards that prevent insider trading, protect consumers, and ensure these markets remain transparent and corruption-free," she explained.

Moreover, Slane pointed out: "Americans deserve clarity, not 50 conflicting interpretations. As the first federally regulated prediction market, Kalshi saw firsthand how quickly this space was growing – and how urgently a unified industry voice was needed to advocate for access and consistency nationwide."

According to the Coalition, more companies are currently considering supporting their mission.

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