The National Collegiate Athletic Association (NCAA) has officially urged the Commodity Futures Trading Commission (CFTC) to suspend all prediction markets involving college sports. In a letter sent Wednesday to CFTC Chairman Michael Selig, NCAA President Charlie Baker argued that the rapid, unregulated growth of these markets poses a “significant threat” to student-athlete well-being and competition integrity.
Baker’s letter criticized the current state of federally regulated prediction markets such as those offered by Kalshi and Polymarket labeling their approach to college sports as “haphazard.” The NCAA is specifically requesting a pause until a “robust system” of safeguards is implemented.
Key demands include:
- Age and Advertising Restrictions: Strict limits to prevent targeting minors.
- Integrity Monitoring: Enhanced oversight to detect match-fixing or insider trading.
- Prop Market Bans: A prohibition on markets tied to individual player performances.
“I implore you to suspend collegiate sport prediction markets until a more robust system with appropriate safeguards is in place,” Baker wrote. “The NCAA is willing to work with the CFTC to develop such a system.”
The move follows a highly publicized conflict last month when Kalshi filed to list contracts on the college football transfer portal allowing users to bet on where student-athletes would commit. While Kalshi later stated it had “no immediate plans” to list the contracts following backlash, the incident catalyzed the NCAA’s push for federal intervention.
The gambling industry has joined the fray, with the American Gaming Association (AGA) and Indian Gaming Association (IGA) recently urging Congress to close the “loophole” that allows prediction markets to operate outside state gaming regulations.
Charlie Baker: “We need federal regulators to stabilize these markets.