NBA expresses concerns over sports prediction integrity to CFTC
The NBA has sent a letter to the Acting Chairman of the Commodity Futures Trading Commission Carolina Pham highlighting its concerns that sports prediction markets threaten the integrity of the sport.
In the letter posted to X by Sports Betting Lawyer Daniel Wallach, Vice President and Assistant General Counsel of League Governance and Policy Alexandra Roth pointed out that sports prediction platforms had been offering NBA contracts for less than six months but that the range of options for basketball predictions was growing rapidly.
The letter raises concerns that player proposition bets, which focus on a player’s performance in a specific game, and other proposition bets focused on officiating decisions, league rules, and player injuries, are likely to soon follow the current available betting options on full-season and single-game outcomes.
The letter also outlined the difference between the NBA’s support for legal sports betting and sports prediction markets. The NBA is the official betting partner of several US sportsbooks like DraftKings and FanDuel.
It explained that online sportsbooks are subject to scrutiny from state regulators, with staff specifically overseeing sports betting, providing safer betting than unregulated platforms.
Meanwhile, the Commodity Futures Trading Commission has no dedicated division for sports predictions.
The letter concluded, “In the event that the CFTC decides to permit the continued offering of these contracts, we would appreciate an opportunity to further engage with the Commission on specific regulatory provisions that can mitigate the associated integrity risks.”
The letter follows a similar communication from the The Michigan Gaming Control Board to the Commodity Futures Trading Commission last week, outlining its concerns about sports event contracts being offered in the state.
Dig deeper
2025/05/07: CFTC drops Kalshi election betting appeal
2025/04/23: Prediction markets platform Kalshi files lawsuit in Maryland
2025/05/01: Michigan regulator registers concern over event contracts with CFTC
2025/03/24: PAGCOR orders license holder to end advertising sponsorship over integrity concerns
