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Wanna bet? Washington steps up scrutiny of prediction markets

By DRG Media Group News Apr 17, 2026 | 6:45 AM

WASHINGTON (AP) — A controversy has erupted over prediction markets such as Polymarket and Kalshi. On April 3, 2026, bets were placed on Polymarket on when a U.S. airman would be rescued from Iran. After Rep. Seth Moulton criticized this, Polymarket halted the betting. Well-timed trades have sparked bipartisan concern in Washington about the ethics and regulation of prediction markets. Lawmakers are proposing bills to prevent insider trading and regulate these markets. The Commodity Futures Trading Commission is also under scrutiny for its oversight role. The debate continues on how to address these markets effectively.

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