The largest labor union in Las Vegas is backing a congressional initiative aimed at halting prediction markets from facilitating trades associated with sports and similar events, which critics label as “casino-style” gaming.
The congressional delegation from Nevada is leading the charge in Washington, D.C., to revise the regulations governing what events prediction markets can include for trading. Recently, U.S. Representatives Steven Horsford (D-NV) and Mark Amodei (R-NV) unveiled the House version of the Prediction Markets Are Gambling Act, mirroring a Senate bill introduced in March by Senators Adam Schiff (D-CA) and John Curtis (R-UT).
This legislative proposal aims to instruct the Commodity Futures Trading Commission (CFTC) to restrict its licensed prediction market operators from trading on sports and other events that its proponents argue resemble casino gambling.
“Gaming policy has traditionally been managed by states and tribes, not unelected federal bodies,” stated Rep. Amodei. “This bipartisan initiative eliminates a federal loophole that permits sports betting to be disguised as financial trading, ensuring that legitimate event contracts stay under the purview of the CFTC.”
The Prediction Markets Are Gambling Act, according to Horsford and Amodei, is a bipartisan measure intended to prevent federally regulated trading platforms from conducting sports betting and casino-style gambling under the pretense of financial products.
The House’s version of the Prediction Markets Are Gambling Act is designated as House Resolution 9856, while the Senate counterpart is Senate Bill 4160.
Union Endorsement
The Culinary Union, the largest labor organization in Nevada, represents around 60,000 employees in the hospitality and casino sectors. The union swiftly expressed support for Horsford and Amodei’s introduction of the Prediction Markets Are Gambling Act in the House.
“Prediction markets are facilitating illegal sports betting nationwide, jeopardizing hospitality employment. Legislators must reaffirm that gaming should be regulated by tribal and state authorities and explicitly prohibit sports betting and casino games through prediction markets,” emphasized Ted Pappageorge, secretary-treasurer of the Culinary Union, in statements provided to Casino.org.
Pappageorge fears that prediction markets pose a threat to the union’s good jobs, wages, healthcare benefits, and retirement plans.
Will the House Advance the Bill?
The Senate version of the Prediction Markets Are Gambling Act, sponsored by Schiff and Curtis, has yet to gain traction, remaining within the Committee on Agriculture, Nutrition, and Forestry since March.
Horsford and Amodei are hopeful for greater support in the House, as the bill has been forwarded to the House Committee on Agriculture for review.
The bills are being processed through their respective agricultural committees due to the regulatory oversight of the CFTC regarding financial trading tied to agricultural commodities like corn, wheat, soybeans, and livestock.