AGA Recruits Former New Jersey Governor Chris Christie to Combat Prediction Markets
American Gaming Association Takes a Stand Against Prediction Markets
The American Gaming Association (AGA) has raised concerns about the rapid growth of prediction markets in the United States. These platforms have increasingly attracted attention, prompting the AGA to voice strong opposition to their expansion in the gambling sector.
In recent months, disagreements over these markets have even led three major members—FanDuel, DraftKings, and Fanatics—to part ways with the AGA, highlighting a significant rift within the industry.
Boosting Its Efforts with Political Support
To strengthen its position, the AGA has enlisted former New Jersey Governor Chris Christie to serve in an advisory role aimed at challenging the rise of prediction markets. Christie brings a notable political background, having been instrumental in landmark developments such as the Murphy v. National College Athletic Association case, the repeal of PASPA, and the legalization of sports betting across the country.
While his involvement might not completely halt the growth of prediction markets, Christie’s expertise and recognition provide valuable support to the AGA’s campaign.
Christie has publicly expressed his opposition to prediction market platforms, especially those related to sports events. On a financial news broadcast, he declared these platforms to be illegal, emphasizing the regulatory framework established by the Supreme Court, which delegates sports betting regulation to individual states.
This position aligns with that of numerous regulators nationwide, many of whom have challenged platforms such as Kalshi in legal settings. At the same time, some platforms like Kalshi and Coinbase have responded with their own legal actions, underscoring the ongoing dispute.
Christie explained, “These platforms are illegal, especially within sports betting. The Supreme Court assigned regulatory authority to the states, which provides both accessibility and regulation within a controlled market.”
Growing Scrutiny and Regulatory Challenges for Prediction Markets
Christie and the AGA contend that prediction markets offering sports-related contracts undermine the regulated sports gambling industry and hinder states’ ability to oversee such activities effectively.
In contrast, proponents of prediction markets argue that they operate under the oversight of the Commodity Futures Trading Commission (CFTC) rather than state laws. They also claim that their offerings provide a more advanced or superior product for users.
Nevertheless, the AGA and Christie assert that these platforms intentionally mimic traditional sports betting to attract users, blurring regulatory boundaries.
Determined to defend the regulated gambling sector, Christie is committed to supporting the AGA in its efforts to curb the expansion of prediction market platforms in the United States.
