NCPG Advocates for National Helpline Promotion by Prediction Market Operators

The National Council on Problem Gambling (NCPG) has issued a significant appeal to prediction market platforms, urging them to integrate the promotion of its national helpline as a critical public health measure. The non-profit organization emphasizes that these markets, despite their distinct regulatory framework, bear substantial similarities to conventional gambling in terms of risk exposure and the potential for financial harm, necessitating proactive engagement in problem gambling prevention.

The NCPG’s call comes amidst a surge in activity within the prediction market sector. For instance, reports indicate that these platforms facilitated approximately $1.2 billion in trades surrounding the recent Super Bowl. While this figure is notable, it still trails the American Gaming Association's projected $1.76 billion for traditional sportsbooks during the same event. This expanding financial footprint, the NCPG argues, underscores the platforms' responsibility to address the welfare of their participants, particularly as gambling prevalence rises across various formats.

From the NCPG's perspective, any entity offering products that emulate gambling experiences should implement clear and impactful strategies to minimize harm and ensure easy access to support resources. This stance is rooted in a public health best practice model. The organization highlights that participating in prediction markets, which involve wagering on future events, carries an inherent level of financial risk comparable to betting through traditional sportsbooks.

Conversely, prediction market operators frequently distinguish themselves from conventional gambling enterprises. They typically assert that they do not establish odds and are instead governed by the Commodity Future and Trading Commission (CFTC), rather than state gambling commissions. This regulatory distinction forms the basis of their argument against being classified as gambling companies, a point of contention with problem gambling advocates.

The urgency of the NCPG's message is amplified by a broader increase in gambling activities, particularly online casinos, sports betting, and now prediction markets. This trend has coincided with a concerning rise in addiction levels, predominantly observed among a younger, male demographic. This cohort is increasingly dedicating larger sums to sports-related wagers, with a growing number experiencing what qualifies as gambling-related harm.

To better serve those in need, the NCPG recently updated its national helpline number to 1-800-MY-RESET. This change aims to boost awareness and broaden its reach, providing crucial support, referrals to treatment, and aid for individuals grappling with gambling-related issues. A recent survey further complicates the issue, revealing that many prediction market participants perceive their financial engagement as an “investment” rather than “gambling,” potentially hindering their recognition of potential risks.