NewsABC Action News (WFTS) — NewsSeptember 10, 2026Hillsborough County
BadCredit.org survey reports 79% of prediction-market users lost money and 44 states argue platforms constitute gambling
Photo: ABC Action News (WFTS) — News
A new survey indicates that 79% of prediction-market users have lost money over the past year, with over half borrowing funds via credit cards or personal loans to continue betting. Meanwhile, 44 states argue that platforms operating as prediction markets constitute a form of gambling subject to state gaming laws and tax rules rather than federal financial exchange regulations.
Read the full story at ABC Action News (WFTS) — NewsWhy It Matters
Users participating in face potential personal debt risks from borrowed trading funds, while ongoing jurisdictional disputes between federal financial regulators and 44 states could alter how prediction markets are legally classified and taxed.
Key Facts
- 79% of survey respondents report losing money in prediction markets over the past year.
- 53% of users started using prediction markets to earn extra income or due to financial struggles.
- More than half of surveyed traders report using credit cards, personal loans, or other borrowed money to fund bets.
- 44 states argue that prediction markets are a form of gambling that should follow state gaming laws and tax rules.
- Prediction markets are currently regulated as financial exchanges at the federal level.
- The regulatory dispute over prediction markets could ultimately end up before the Supreme Court.
Who's Mentioned
OrganizationPolymarket“Prediction market platform allowing users to wager on real-world events”OrganizationThe Weather Company“Partnered with prediction market Kalshi on climate trading”OrganizationKalshi“Prediction market platform allowing users to wager on real-world events”OrganizationBadCredit.org“Conducted the survey on prediction-market user habits”PersonErica Sandberg“Consumer finance expert interviewed in the article”