The New York City Council is investigating the advertising practices of four major prediction market platforms, opening a new front in the legal controversies surrounding the fast-growing industry.
Council Speaker Julie Menin has sent a letter containing a wide range of questions to Polymarket, Kalshi, Coinbase Global Inc., and Titan, the prediction market platform operated under Gemini Space Station. The inquiry is part of what the council describes as a legislative investigation aimed at determining whether existing city laws sufficiently protect residents from false or deceptive marketing by these emerging platforms.
Beyond advertising, the council is also studying policy responses to products that could lead users to engage in "compulsive betting on event contracts."
In a letter addressed to Polymarket, the council stated: "The Council is investigating allegations involving Polymarket and, more importantly, the prevalence of similar marketing practices across the broader prediction market industry, as well as the associated social harms to New York City residents."