Physicians in Texas are urging the state to raise the minimum age for prediction market usage to 21, citing concerns about underage males engaging in risky behavior.
Although some tribal casinos allow 18-year-olds to gamble, the legal age for casinos, iGaming, and sports betting is 21 in most states. However, prediction markets, which are less regulated than traditional gambling venues, are trying to attract younger users by positioning themselves as financial instruments, raising concerns among Texas doctors.
The Texas Medical Association (TMA) has called for a minimum age of 21 for participation in prediction markets due to worries about young males developing problem-gambling behaviors.
“Concerns over young people using these apps trouble physicians who worry that young males are more likely to develop problem-gambling behaviors, driving many into addiction and other negative behavioral health impacts,” according to the association.
Dr. Lindy McGee, former chair of TMA’s Committee on Child and Adolescent Health, highlights the similarities between prediction markets and gambling in terms of psychological effects.
Texas Is an Interesting Case
Although Texas has not yet set a minimum age of 21 for prediction market trading, policymakers are considering addressing the issue in the upcoming legislative sessions.
Given that Texas does not allow online sports betting and is the second most populous state, the regulation of prediction markets in the state will be closely monitored.
Recent data shows an increase in gambling among young boys in Texas and across the U.S., with studies indicating high participation rates in betting activities.
“More than 35% of boys aged 11 to 17 report having gambled in the past year, according to one study,” notes the TMA. “Another found 58% of 18 to 22-year-olds surveyed engaged in at least one sports betting activity.”
Adolescent brains are particularly susceptible to risk-taking behaviors, making young individuals vulnerable to addictions like gambling, alcohol, and nicotine.
TMA Has Suggestions
Recognizing the vulnerabilities of young people to problematic wagering patterns, the TMA has proposed several measures for Texas, including the minimum age of 21 for prediction market participation, restrictions on advertising near schools and on social media platforms targeting adolescents, and a ban on using advertisements featuring celebrities or characters appealing to teens and children.