Published on: November 4, 2024, 07:53h.
Last updated on: November 4, 2024, 10:26h.
The results of the 2024 presidential election will be decided on Tuesday, November 5, as millions of Americans head to the polls to cast their votes.
Leading up to the election between former President Donald Trump and Vice President Kamala Harris, various pollsters have made predictions on the outcome. Betting markets for the 2024 election are seeing increased activity, with proponents claiming they provide more accurate predictions.
While election betting markets are currently legal, a federal court case regarding their legality is ongoing. State gaming agencies caution against participating in unregulated betting on political events.
Connecticut Department of Consumer Protection Commissioner Bryan Cafferelli emphasized that wagering on elections poses risks to personal information and finances. Legal and regulated platforms are not authorized to offer election bets in Connecticut.
In September, a federal appeals court ruled in favor of Kalshi, an online political wagering platform, stating that the Commodity Futures Trading Commission (CFTC) overstepped its authority in prohibiting platforms like Polymarket and PredictIt from accepting bets on US elections.
The CFTC expressed concerns about election betting affecting the integrity of US elections and transitioning the commission’s focus from financial markets to election oversight. However, the court disagreed with this argument.
Despite the federal ruling allowing Kalshi to accept election bets from US players, both Connecticut and Washington State warn consumers against participating in such markets.
Federal Law Trumps State
Legal expert Contessa Brewer questioned the legality of betting sites offering bets on the presidential election without state gaming licenses. She highlighted the case of Kalshi operating in New York without a license.
Despite lacking a gaming license, Kalshi continues to offer election bets in New York and other states. The federal agency’s rules hold precedence over state regulations, allowing Kalshi to operate legally.