Iowa lawmakers have introduced Senate File 2085, aimed at bringing federally regulated prediction market platforms under state oversight.
This would be a sizable shift in how these platforms could operate within the state. Across the US, platforms like Kalshi and Robinhood are locked in a battle with states, arguing they fall under federal jurisdiction.
State regulatory gambling bodies, on the other hand, argue that the sports contracts these platforms are offering to customers amount to illegal sports gambling.
The bill, introduced by Sen. Mike Klimish and referred to the Ways and Means Committee on January 21, would make it unlawful for prediction market operators to offer contracts to state residents without first securing a permit from the Iowa Department of Revenue.
Under the proposal, firms would face a steep initial licensing charge of US$10 million, followed by annual renewal fees of US$100,000.
https://completeigaming.com/iowa-bill-aims-to-bring-prediction-markets-under-state-regulation/