Federal News
Congress Proposes Ban on War Prediction Markets
March 23, 2026
Congressional lawmakers have introduced multiple bicameral bills, including the DEATH BETS Act and the BETS OFF Act, aimed at banning federal contracts and activities related to prediction markets that wager on war, terrorism, assassination, and sensitive government actions. These legislative efforts seek to close existing legal loopholes that allow profit-making from such markets, including offshore platforms, and propose criminal penalties for U.S. persons involved. The bills emphasize preventing conflicts of interest, corruption risks, and national security threats by prohibiting federal employees and officials from participating in or benefiting from these markets. This legislative focus signals increased scrutiny on contracts and platforms associated with prediction markets tied to government and military events.
- Procurement professionals should anticipate potential restrictions or prohibitions on contracts involving prediction market platforms related to war, terrorism, or government actions.
- Contractors and vendors offering services or technologies linked to prediction markets may face compliance challenges or contract eligibility limitations.
- Agencies may require enhanced due diligence and contract clauses to ensure adherence to new prohibitions if these bills become law.
- Organizations involved in federal procurement should evaluate exposure to these legislative changes and adjust risk management and compliance strategies accordingly.
No one should make a profit betting on war and death through prediction markets. While federal law prohibits prediction market contracts on terrorism, war, and assassination, there are still loopholes that allow traders to profit off them.
— Rep. Mike Levin
When the President and national security officials are making life and death decisions, the last thing they should be considering is whether they can personally profit. This bill puts an end to that corruption and disturbing national security risk.
— Rep. Yassamin Ansari
Theres no getting around the fact that any prediction market where somebody knows or controls the outcome of a bet is ripe for corruption.
— Chris Murphy
Agencies
U.S. House of Representatives, U.S. Senate, Commodity Futures Trading Commission, Justice Department, Executive Branch
Locations
Sources
- Rep. Mike Levin Introduces DEATH BETS Act to Ban Death & War Prediction Contracts | U.S. Congressman Mike Levin · Levin · Mar 18
- Rahm Emanuel proposes banning all federal employees from betting on prediction markets | Federal News Network · Federal News Network · Mar 23
- Hickenlooper, Murphy Introduce Bicameral Bill to Ban Prediction Markets On War, Government Actions | Senator John Hickenlooper · Hickenlooper Senate · Mar 19
- Amo, Murphy, Casar, Ansari Introduce Bicameral Bill To Ban Prediction Markets from Enabling Officials to Bet On and Profit Off War | Congressman Gabe Amo · AMO · Mar 18
- Ansari Supports Bicameral Bill to Ban Prediction Markets on Government Actions, War, and Events Ripe for Rigging | U.S. House Representative Yassamin Ansari · Ansari · Mar 19