Regulation roundup: Iowa, Maine, Tennessee, and more
All the latest regulatory developments across the US, including continued pushback against prediction markets and sweepstakes
Iowa Senate passes prediction markets regulation bill
Iowa senators have unanimously voted through legislation which would see prediction markets platforms regulated and taxed at a state level.
Senate File 2470 passed with a majority 45-1 vote, making the Iowa Senate the first legislative chamber in the US to pass such a bill. The legislation now heads to the House.
The amended bill proposes taxing designated contract markets (DCMs) entities – such as Kalshi, Crypto.com, and Polymarket – 20% of adjusted revenue from event contracts.
Initial license fees for prediction markets platforms would be set at $20m, with companies having to pay $100,000 every year to renew.
Kentucky ponders major sports betting reforms
Kentucky’s Senate is proposing a series of sweeping changes to the state’s current sports betting legislation.
The bill, passed by the House, would look to raise the minimum legal sports betting age from 18 to 21, bringing Kentucky in line with the majority of US states which offer sports betting.
Sportsbooks would also no longer be able to offer individual player prop bets on any games involving state colleges.
Furthermore, the bill would introduce a 14.25% tax to prediction markets platforms in the state, aligning them with the levy imposed on Kentucky sportsbooks.
Maine’s anti-sweepstakes legislation awaiting governor signature
Lawmakers in Maine have successfully passed legislation banning sweepstakes gaming in the state.
Senate Bill 2007 passed through the House with an 87-55 vote, and now awaits signature from Governor Janet Mills.
The bill would outlaw the operation and promotion of sweepstakes platforms, classifying the vertical as unlawful gambling.
Punishments for any violations would include fines of up to $100,000 and mandatory license revocation for any offenders.
Tennessee advances bill banning sweepstakes casinos
A bill to ban sweepstakes gaming in Tennessee has advanced in the Volunteer State.
The proposed legislation would introduce criminal and civil penalties against any dual-currency casino operators.
Tennessee’s House State and Local Government Committee approved the proposal with a unanimous 21-0 vote earlier this week.
The bill will now move forward to the Finance, Ways and Means Committee before being passed to the House floor.