The US Senate has voted to ban senators from engaging in prediction markets trading, effective immediately. BonusFinder, an online casinos comparison site, reveals all.
In a vote held on Thursday, April 30, senators unanimously agreed to impose self-limiting restrictions on their usage of event contracts trading popularized by platforms like Kalshi and Polymarket.
Ohio Republican Senator Bernie Moreno presented the resolution to block senators from using prediction platforms. While the original draft only applied a ban to senators, Democratic Senator Alex Padilla successfully introduced an amendment to extend the prohibition to Senate staff and officials.
Prediction markets allow users to 'buy' shares on real-world outcomes – using 'yes' or 'no' options – ranging from daily rainfall, to political decisions. If the chosen outcome occurs, the user 'wins' a defined sum of money.
Now, the Senate is urging other governmental branches to follow suit with similar restrictions.
Prediction market controversies rampant in recent months
News of the Senate ban follows a string of controversial insider trading reports tied to such products.
One striking example came just two days prior to the vote, when a US soldier pleaded not guilty to charges suggesting the individual had fraudulently earned over $410,000 by leveraging confidential information to trade on Venezuelan President Nicolas Maduro being removed from power. In January, the US conducted a military operation to detain President Maduro.
Senator Moreno believes that he and his colleagues should not be allowed to participate in "speculative activities" for fear of comparable legal issues:
"United States senators have no business engaging in speculative activities like prediction markets while collecting a taxpayer-funded paycheck," explained Moreno.
Across the aisle, Democratic Senate Leader Chuck Schumer echoed Moreno's sentiment: "We must never allow Congress to turn into a casino where members representing the public can gamble on wars or economic crises."
Schumer also praised the speed of the ban's integration: "It is a good thing that the Senate is moving swiftly to prohibit senators and staff from playing around in prediction markets."
On the topic of implementing further bans across other sectors involving elected officials, Schumer called for an identical block in the House to be approved "immediately".
Is an administrative ban realistic?
In a social media post, on X, notorious prediction market operator Polymarket expressed its support for the Senate's ban on event contracts trading, stating that the company is in "full support" of the move.
Polymarket continued to detail that it is "happy to help move this (ban) forward" if assistance is possible.
Despite the platform's public backing, there exists significant doubt as to whether the same plaudits would be extended to a permanent administrative embargo; President Donald Trump's son, Donald Trump Jr., has sat on Polymarket's board in an advisory role since summer 2025 – as well as being an advisor to rival Kalshi.
Schumer alluded to possible malpractice associated with prediction market activities within the sitting administration during a speech last week:
"The administration and its employees must apply these very same rules too," said Schumer. "Particularly this administration which shows a troubling affinity to corruption and self-dealing."
If the administration fails to suppress trading on prediction platforms, serious concerns may be raised as to why the White House is unwilling to follow in the footsteps of the Senate. Should an administrative ban succeed, questions around the relationship between Donald Trump Jr. and Polymarket could intensify.
The picture will begin to become clearer when the Senate reconvenes on May 11, as Schumer has vowed to "ensure that the administration can't get rich off betting markets".
