News Summary

• Prediction markets are websites that sell contracts that allow users to wager on event outcomes.
• It isn’t yet entirely clear who regulates prediction markets and how, and markets have regularly clashed with state officials trying to rein them in.
• An NBC News analysis found nearly $200 million in trading volume on midterm election outcomes on prediction markets Kalshi and Polymarket.
• Election officials say they are concerned about how the odds on such sites could influence public trust in election outcomes and about creating incentives for manipulation.