Gaming Groups Push Senate to Ban Sports Betting on Polymarket, Kalshi

National, tribal, and state gaming groups are lobbying senators to include language in the CLARITY Act that would ban sports betting on prediction markets like Polymarket and Kalshi. The push comes as the Senate faces a deadline to advance the crypto bill before the July 4 recess. The groups are expected to intensify their efforts this week.

Banking groups have also renewed efforts to include a broad ban on stablecoin yield in the same bill. The Senate's focus has shifted instead to ethics and decentralized finance issues, according to CoinGape. Member meetings and staff-level negotiations are expected to continue throughout this week.

Sources told Crypto in America that negotiations to include the sports betting language are unlikely to gain traction. Lawmakers are focused on resolving outstanding issues like illicit finance and merging the crypto bill with the Agriculture Committee text. The Digital Chamber is meeting with senators and staff to advocate for the bill's passage. It also plans to meet with House members to discuss crypto tax legislation, including the tax discussion drafts released by the House Ways and Means Committee.