TLDR Texas Senate held a hearing on prediction markets after huge betting volume on NFL and college football games American Gaming Association urged Texas to sue prediction markets and treat them like illegal sports betting Kalshi argued federal regulation makes it safer than offshore betting sites Kalshi signed a first-of-its-kind partnership with the Tunica-Biloxi Tribe of Louisiana to launch a tribal prediction market app A federal appeals court ruled Kalshi’s sports contracts count as gambling under Indian gaming law when used on tribal land
Texas lawmakers spent over an hour this week debating whether prediction markets are just another form of sports betting. The hearing took place in the Texas Senate Committee on State Affairs.
It was called by State Senator Bryan Hughes. Lawmakers wanted to understand how federally regulated trading platforms fit alongside state gambling laws.
The timing was no accident. Betting volume in Texas has been high. A Dallas Cowboys and New York Giants game last Sunday drew more than $208 million in trading across US markets.
College football numbers were high too. A matchup between Ohio State and Texas on September 12 saw over 50.7 million contracts traded.
A few takeaways:
– Sunday Night Football (Cowboys at Giants) led with $208.1M
– Packers at Vikings was the top non-primetime game at $74.1M
– @Kalshi held 53–56% share across each of the top 5 games
*Individual game volume only. Combo/parlay/exotic volume neared $8B from…
— Aldrin Research (@AldrinResearch) September 16, 2026
What happened at the hearing
Tres York from the American Gaming Association spoke first. He told lawmakers that a contract on the Cowboys game is no different from a bet placed at a sportsbook.
Robert DeNault, head of enforcement at Kalshi, disagreed. He said prediction markets regulated by the federal government offer more