The ORACLE Act, known as the Oversight and Regulation of Activity for Contracts Linked to Events, was reintroduced in the New York State Assembly by Assembly Member Clyde Vanel on January 7 to set stricter rules for platforms that offer prediction markets.
Under these changes, betting on specific match results, such as NFL games, would not be allowed, while bets on tournament outcomes, such as who wins the Super Bowl, would remain accepted.
Additionally, the bill would stop “prop betting”, which refers to betting on specific moments during games, such as the first team to score or a player’s in-game statistics.
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The legislation covers more than just sports topics. It calls for a block on trading contracts tied to political events, notable deaths, or catastrophic incidents. This includes betting on election outcomes, warfare, public health events, mass shootings, terrorism, and other disasters.
Platforms would also be banned from running prediction markets focused on the death of individuals or bets tied to the share price of a listed company.
The bill sets out new duties for companies operating these platforms. They must enable users to set their own time and money limits and provide self-exclusion features.
If a company continues to do business in New York after being told to stop, it could face a $1 million daily penalty.
Prediction market operators like Kalshi and Polymarket have already come up against state authorities, some of whom argue that a gambling license is needed to run such services.
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