Several major sports organizations in the U.S. are asking the Commodity Futures Trading Commission (CFTC) to mandate a minimum age of 21 for trading sports event contracts. State-regulated sportsbooks typically set the legal age at 21. By contrast, sports event contract trading on prediction market platforms is currently available to users aged 18 and older, because the CFTC has not imposed a 21+ requirement.
In the NBA’s April 30 comment letter, the league said sports prediction contracts carry financial-loss risks that may be even more pronounced for young users. The league asked the CFTC to prohibit under-21 users from trading sports prediction contracts, or, at minimum, restrict DCMs from directly marketing sports products to people aged 18 to 20.
Integrity Concerns Go Beyond Age
The age limit is one component of the NBA’s broader proposal. The NBA stated that it had no formal stance on the classification of prediction markets as gambling under state or federal law. However, it noted that such products pose integrity threats similar to those presented by sports betting. Accordingly, the NBA advocated for the following:
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Stricter KYC procedures;
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Collaborative efforts with league investigations;
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Reporting of suspicious trading activity;
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Trade-level data sharing.
In addition, the NBA called for restrictions on market types. It requested that the CFTC restrict contracts related to injury, officiating, discipline, player transactions, fan actions, and NBA G League events. Furthermore, it said that player proposition markets should be blocked pending regulatory guidance.
The PGA TOUR made a similar request in its own CFTC comment. It asked the regulator to raise the age requirement for sports event contracts to 21 and to require official league data, stronger KYC standards, integrity monitoring, anti-harassment measures, and limits on harmful markets.
NCAA Flags College Student Risk
In its March letter, NCAA President Charlie Baker asked the CFTC to require college sport prediction market participants to be at least 21. He said the current gap between state sportsbook rules and prediction market access could pull college students, and possibly high school students, into risky activity. The NCAA also asked for the following:
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Bans on college player prop prediction markets;
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Tighter advertising limits;
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NIL-related restrictions;
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Anti-harassment tools;
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Mandatory cooperation with integrity investigations.
According to Baker, a temporary suspension of college sport prediction markets would still be prudent. However, he added that safeguards are needed if the CFTC continues to build a framework around them.
Federal Control Remains the Core Fight
As the CFTC fights to preserve its authority in the prediction markets domain, several states have argued that these products should fall under state gambling laws. On April 28, the CFTC sued Wisconsin after the state had filed lawsuits against Kalshi, Polymarket, Crypto.com, Robinhood, and Coinbase, asserting felony violations of state law. All of those companies were described by the CFTC as regulated prediction markets.
This dispute helps explain why the leagues are trying to address their concerns directly to the federal regulator. If sports event contracts remain under CFTC jurisdiction, leagues would prefer federal rules that mirror key parts of state sports betting oversight.
What to Watch Next
The next phase is no longer about terminology but safety. Prediction markets may keep claiming that they are financial products rather than sportsbooks. However, for sports leagues, athletes, and regulators, the real implications revolve around traders, allowed markets, and fast detection of suspicious activity.
