Nine U.S. House Democrats Urge FTC to Investigate Prediction Markets Over Ad Misalignment, Seek Response by June 29

According to Odaily, nine U.S. House Democratic lawmakers urged the Federal Trade Commission on June 4 to investigate prediction market platforms, citing a mismatch between their advertising and regulatory claims. Representatives Kevin Mullin and Gabe Vasquez stated that these platforms present themselves as financial investment tools to regulators while advertising to the public as gambling platforms, potentially misleading consumers.

The lawmakers requested that the FTC provide detailed responses by June 29 regarding whether it plans to investigate or take enforcement action against prediction markets. This follows congressional scrutiny of insider trading issues, with the House launching investigations into Polymarket and Kalshi in May.