New York Assemblyman Clyde Vanel has introduced Assembly Bill 9251, known as the ORACLE Act (Oversight and Regulation of Activity for Contracts Linked to Events), proposing that prediction markets be regulated under the same stringent rules that govern traditional gambling in the state.
This proposal seeks to bring clarity to the legal status of betting platforms like Kalshi and Polymarket, which have seen a massive surge in popularity, including billions of dollars poured into contract betting during the last New York City mayoral race alone.
The primary goal of the New York ORACLE Act is to curb activity that lawmakers deem inappropriate while establishing essential consumer protections. The bill would ban New Yorkers from wagering on catastrophic events, politics, deaths, securities, and individual sports games.
While betting on entire tournaments would remain permissible, the exclusion of single-match betting marks a significant shift for sports betting enthusiasts currently using these platforms.
Vanel explained his concern that these platforms are operating in a precarious legal gray area, a concern mirrored by actions in other states like Massachusetts, which is currently taking Kalshi to court.
Consumer protection forms a critical component of the bill. Under the ORACLE Act, platforms would be legally required to enforce an age minimum of 21, provide clear self-exclusion options, and prominently feature the HOPE NY hotline.
Furthermore, platforms must be fully transparent about how outcomes are determined, eliminating the practice of settling bets based on undisclosed information.
Advertising will also face stricter rules, banning campaigns aimed at minors, prohibiting the description of bets as “risk-free,” and blocking the use of credit cards or gift cards for making deposits.
Although the legislative session has concluded, the bill is set to be reviewed by lawmakers starting January 7, 2026. New York’s move aims to pull prediction markets into a framework of fairness and safety, ensuring consumer play remains regulated and responsible.
Clyde Vanel, New York Assemblyman:
“What this legislation does is, number one, it prevents certain types of events from being used on this platform. Number two, for event contracts that touch regulated betting activities in New York. These platforms have to abide by the same regulations and safeguards that the other betting platforms have to do in New York State.”
