New York City Council Investigates Polymarket and Three Other Prediction Market Platforms, Focusing on Advertising and Compulsive Betting Risks

Odaily News: The New York City Council is investigating the advertising practices of Polymarket, Kalshi, Coinbase, and Titan, the prediction market platform under Gemini, as the prediction market industry faces new regulatory pressure.

Council Speaker Julie Menin has sent inquiry letters to these four platforms as part of a legislative investigation to assess whether existing city laws adequately protect residents from false or deceptive marketing.

Additionally, the City Council is studying policies to address issues such as prediction market products potentially inducing users to engage in "compulsive betting" on event contracts. In a letter to Polymarket, the Council stated that the investigation covers not only allegations against Polymarket but also assesses how widespread similar marketing practices are across the prediction market industry and the potential social harms they may cause.