US lawmakers demand FTC investigate predictive market advertising behavior

According to Cointelegraph, nine Democratic members of the US House of Representatives have called on the Federal Trade Commission (FTC) to investigate whether the advertising campaigns in the predictive market are consistent with their statements to regulatory agencies. Legislators Kevin Mullin and Gabe Vasquez pointed out that predictive market platforms may mislead consumers by labeling them as financial instruments to regulatory agencies but promoting them to the public as gambling platforms. Legislators are demanding that the FTC respond by June 29th on whether it plans to investigate or take enforcement action. The market is expected to be under scrutiny recently due to insider trading issues, and Congress has launched investigations into Polymarket and Kalshi.