TLDR Five Democratic lawmakers sent a letter to 12 CEOs of sportsbooks and prediction markets over concerns about targeting young adults aged 18-24 Kalshi was called out for a TikTok ad where a user claimed to earn two years’ rent from trading on the platform An Ipsos poll found young men aged 18-24 are twice as likely as others to use sports betting, fantasy, or prediction market apps The lawmakers want answers to 12 questions by May 29 and have requested a briefing on the issue Previous bills like the SAFE Bet Act have not advanced to committee hearings in Congress
Five Democratic members of Congress sent a letter on Monday to 12 CEOs of online sportsbooks and prediction market platforms. The letter raised concerns about how these companies are reaching young adults through their advertising.
The group includes U.S. Reps. Valerie Foushee, Paul Tonko, Betty McCollum, Kevin Mullin, and U.S. Sen. Richard Blumenthal. They accused the platforms of using what they called “predatory advertising” aimed at Americans aged 18-24.
The five-page letter was sent to companies including bet365, Kalshi, Polymarket, Caesars, BetMGM, DraftKings, FanDuel, Robinhood, Fanatics, and PrizePicks.
Kalshi TikTok Ad Draws Scrutiny
Kalshi was singled out for a TikTok ad in which a person claimed they made enough money on the prediction market to cover two years of rent. The lawmakers said this kind of messaging is harmful to younger users.
They also pointed to partnerships between prediction markets and major news outlets like CNN, CNBC, Dow Jones, and Yahoo Finance. The lawmakers argued these partnerships create an environment where Gen Z is more likely to see gambling as normal.
Sports betting companies were also criticized. The letter called out bet365’s “Winning is Everything” campaign as an example of aggressive advertising in a competitive market.