The NBA moves to restrict certain player prop bets, while Novig and Crypto.com take Missouri regulators to court. Elsewhere, UK lawmakers push for higher gambling taxes and US election prediction markets approach $1 billion in trading volume.
The NBA has reached an agreement with its sportsbook partners to restrict certain player prop bets ahead of the new season, as the league seeks to strengthen betting integrity following a series of gambling-related scandals.
Meanwhile, Novig and Crypto.com have filed separate lawsuits against Missouri over the state’s efforts to regulate sports event contracts. Across the Atlantic, 90 Labour MPs are calling for an increase in Machine Games Duty, while trading activity on the 2026 US midterm elections continues to accelerate.
The Big Story: NBA Restricts Player Prop Bets and Same-Player Parlays
ESPN reports that the NBA has agreed with its official sportsbook partners to prohibit certain player prop wagers and restrict combinations of bets on individual players, in an effort to reduce the risk of manipulation.
Under the new restrictions, sportsbooks will generally stop offering individual statistical props on players expected to receive fewer than 12 minutes of playing time. The changes also prohibit customers from combining multiple under bets on the same player’s performance in a single game.
The measures follow several betting integrity controversies involving NBA players and concerns that markets involving reserve players or narrowly defined statistical outcomes may be particularly vulnerable to manipulation.
However, the restrictions also highlight the regulatory divide between traditional sportsbooks and prediction markets.
While the NBA can negotiate betting restrictions with its licensed sportsbook partners, comparable contracts may remain available on federally regulated prediction market platforms.
The league has held discussions with the Commodity Futures Trading Commission (CFTC) about strengthening oversight of basketball-related event contracts but has yet to reach a formal agreement with the regulator.
The Daily Wire
Novig and Crypto.com Sue Missouri Over Prediction Market Enforcement
Novig and Crypto.com have filed separate federal lawsuits seeking to block Missouri from enforcing state gambling laws against their sports prediction market products.
The legal challenges follow cease-and-desist notices issued by Missouri Attorney General Catherine Hanaway in September, ordering prediction market operators to stop offering sports event contracts in the state or obtain the necessary gambling licences.
Novig filed its lawsuit in the Eastern District of Missouri, while Crypto.com brought its challenge in the Western District.
Both companies argue that their federally regulated event contracts fall under the exclusive jurisdiction of the CFTC and that federal commodities law preempts Missouri’s gambling restrictions.
The Eighth Circuit has yet to rule on the issue, potentially opening another front in a dispute that could ultimately reach the US Supreme Court.
90 Labour MPs Call for Machine Games Duty Increase to 40%
A group of 90 Labour MPs has urged UK Chancellor John Healey to increase Machine Games Duty (MGD) on Category B gaming machines to 40% in the upcoming Budget.
The campaign is being led by Labour MP Alex Ballinger, who argues that higher taxation would address the concentration of adult gaming centres in economically deprived communities while generating additional government revenue.
Ballinger cited Social Market Foundation research suggesting that the proposed increase could raise between £275 million and £458 million annually, although actual receipts would depend on the industry’s response.
The proposal would primarily target Category B machines found in betting shops, bingo halls and adult gaming centres, while excluding gaming machines in pubs.
Industry representatives have warned that a substantial increase in MGD could lead to betting shop closures, job losses and further pressure on land-based gambling businesses.
Major operators, including Entain, Flutter, bet365 and Betfred, have backed industry efforts to oppose further tax increases, setting up a confrontation between gambling businesses and Labour MPs ahead of the Autumn Budget.
US Midterm Prediction Market Trading Surpasses $750 Million
Trading volume on contracts tied to the 2026 US midterm elections has exceeded $750 million, according to figures reported by CNN, as political prediction markets attract growing participation ahead of November’s vote.
The figure, recorded as of 15 October, represents an almost eightfold increase compared with the $92.4 million traded on congressional and state election contracts during the 2024 election cycle.
Kalshi and Polymarket currently offer more than 21,000 midterm-related markets, according to the Anti-Corruption Data Collective.
The organization estimates that total trading volume could reach $1.6 billion by the time the elections conclude.
Ontario Faces Scrutiny Over Withheld Problem Gambling Study
Ontario’s government is facing questions over its handling of research into problem gambling after internal documents reportedly revealed that a study examining gambling-related harm had been withheld from public release.
The controversy raises fresh concerns about transparency and the availability of evidence used to assess the impact of Ontario’s regulated online gambling market.
The province opened its competitive online gambling market in April 2022, allowing private operators to offer sports betting and casino products under provincial oversight.
New Jersey Senate Panel Advances Underage Gambling Reform
A New Jersey Senate committee has advanced legislation that would change how underage gambling offences are handled, replacing criminal penalties with civil sanctions.
The proposal would reduce the criminal consequences faced by individuals who gamble below the legal age while maintaining restrictions on underage participation.
Supporters of the reform argue that a civil enforcement approach would be more proportionate, particularly for young offenders who could otherwise face lasting consequences from a gambling-related conviction.
The measure must progress through further legislative stages before becoming law.
Developments to Watch This Week
The CFTC’s interim rule on sports and casino event contracts is scheduled to take effect on Oct. 19, alongside the publication of a companion rulemaking proposal. Both measures could have implications for the treatment of sports-related derivatives, with public comments due in November.
Legal proceedings will also remain in focus on Oct. 21, when a case-management conference is scheduled in the California tribal litigation against Kalshi and Robinhood. Wisconsin’s appellate brief is due the same day in a separate prediction-market dispute, while supplemental filings in the Kentucky litigation are expected on Oct. 23.
Meanwhile, Missouri regulators could take further action following the expiration of cease-and-desist deadlines issued to six prediction-market operators. Crypto.com and Novig have already challenged the state’s enforcement efforts in federal court, leaving the status of other operators under scrutiny.
