Democrats Press CFTC Chair as Kalshi Posts $545M at Masters

On Thursday, April 17, 2026, Democratic members of the House Agriculture Committee questioned Commodity Futures Trading Commission Chair Mike Selig about staffing shortfalls, the agency’s balance, markets linked to war, potential insider trading and ties between prediction platforms and the Trump family. Representative Jim Costa criticized event contracts as gambling, saying, ‘Companies try to hide behind federal law and call it innovation. It’s not innovation, it’s a bet.’

Selig told the committee the CFTC ‘takes this very seriously’ and cited the agency’s authority under ‘broad definitions’ of commodities and swaps. He did not offer detailed new enforcement actions. Democrats pressed for clearer rules and additional staff; Republicans asked fewer and softer questions. Lawmakers noted hearings like this do not always lead to immediate policy changes.

Prediction market Kalshi reported $545 million in trading tied to The Masters, including $460.3 million on the market for who would win after Rory McIlroy secured his second straight Green Jacket. Kalshi described the total as the most-bet single sporting event in the company’s history; by comparison, roughly $1 billion was traded on Super Bowl Sunday across multiple Kalshi markets.

Trading volume on a prediction exchange differs from sportsbook handle. Prediction markets record contracts traded on outcome-based markets, while sportsbooks report money wagered on bets.

Former Chicago mayor Rahm Emanuel proposed a 10% federal tax on prediction markets and gambling operators to raise an estimated $30 billion to $50 billion a year. In Ohio, state Sen. Bill Blessing introduced legislation to charge a 2% fee on all sports bets. Illinois lawmakers are debating a per-wager tax that has met resistance.

Federal court filings show Damon Jones, charged in an FBI gambling investigation last October, is scheduled to change his plea to guilty on April 28. Prosecutors allege he provided inside information about injuries to LeBron James and Anthony Davis while on the Lakers’ staff. Jones faces a separate indictment alleging he profited from fixed poker games.

Bet365 went live in Michigan and announced partnerships with the Detroit Tigers and Detroit Red Wings as part of its U.S. expansion. The company has applied for a Massachusetts license and is reportedly exploring New York; reports indicate the Coates family, Bet365’s principal owners, may sell a majority stake.

Virginia Senate Majority Leader Scott Surovell pushed legislation to allow a casino in Fairfax County despite a veto by Gov. Abigail Spanberger and opposition from local officials.

Selig’s testimony emphasized the CFTC’s current reliance on broad statutory authority while lawmakers continued to press for clearer rules, more resources and stronger enforcement on event-based markets.