NCPG calls for stronger protections as prediction markets expand
The National Council says the rapid expansion of prediction markets is creating gambling-related risks for consumers, particularly younger users.
U.S.- The National Council on Problem Gambling (NCPG) has called for stronger consumer protections as prediction markets expand across the US, saying the products can expose users to risks associated with traditional gambling. Board President Derek Longmeier issued a statement saying that the organisation is not taking a position on whether prediction markets should be legal, but wants measures to reduce gambling-related harm.
“Regardless of how prediction markets are currently legally defined, NCPG believes it is functionally gambling and can expose consumers to many of the same risks and harms associated with traditional gambling,” Longmeier said.
The organisation cited a recent Harris Poll conducted on its behalf, which found that 85 per cent of Americans believe people can develop unhealthy or addictive behaviours through prediction market platforms. Another 84 per cent said the platforms should receive consumer protections similar to those applied to gambling.
Longmeier said the NCPG has seen financial, emotional and relationship consequences associated with prediction markets. The NCPG said it is seeking engagement with prediction market operators, gambling companies, sports leagues, financial-services organisations, regulators and consumer advocates to develop protections. Among the measures it identified are responsible-engagement tools, self-exclusion programmes, age verification, clear risk disclosures and direct access to support services.
The group said the need for safeguards is particularly urgent as prediction market platforms reach younger Americans. “NCPG will continue to follow the evidence, speak honestly about gambling-related harm and advocate for safeguards,” he said.
