Sports Unions Urge CFTC to Ban Player 'Under' Betting and Raise Age Limit
Athlete groups are calling for a prohibition on wagers regarding player injuries and underperformance, alongside a push to raise the minimum betting age from 18 to 21.
Unions representing professional athletes across the NBA, NFL, MLB, NHL, and MLS have formally urged the US Commodity Futures Trading Commission (CFTC) to ban specific types of bets on prediction market platforms. In a letter submitted in response to the regulator's recent request for comment, the groups are seeking to prohibit wagering on a player's underperformance or injury, a category often referred to as 'unders'.
The advocacy extends beyond performance metrics to include restrictions on betting regarding specific negative broadcast phrases. The unions argue that wagering on whether words such as 'concussion' are spoken during a broadcast constitutes another method of betting on a negative outcome. Additionally, the letter explicitly calls for a ban on the unauthorised use of private health and performance data, citing the need to protect athletes and their families from abusive and harassing behaviour.
These regulatory requests come against a backdrop of recent scandals involving the exploitation of athlete data. The push for stricter oversight follows a 2024 wire fraud scandal involving former Toronto Raptors centre Jontay Porter, who pleaded guilty to conspiring to limit his own participation in games for betting purposes. Furthermore, the US Department of Justice recently charged several current and former NBA players with using private locker room and medical information to enrich themselves.
In terms of eligibility, the unions are advocating for a minimum age limit of 21 for prediction market betting. This proposal contrasts with the current policy of major platforms such as Kalshi and Polymarket, which allow users aged 18 and older to participate. The unions believe that raising the age threshold is necessary to better safeguard the well-being of athletes and those around them.
The submission highlights the growing tension between federal regulators and state authorities over the control of these financial instruments. The CFTC has been actively asserting its federal authority over prediction markets, filing lawsuits against several states including Arizona, Connecticut, Illinois, New York, and Wisconsin. These legal actions accuse the states of violating the CFTC's regulatory authority by attempting to impose their own rules on platforms that operate under federal jurisdiction.
As the regulatory landscape continues to evolve, the sports unions' intervention marks a significant moment for athlete protection. By targeting the specific mechanics of prediction markets, the groups aim to ensure that the financialisation of sports does not come at the expense of player safety or privacy. The CFTC will now consider these recommendations as it finalises its stance on the future of prediction betting in the United States.
