The NBA has partnered with Kalshi and Polymarket, becoming the third major U.S. sports league to embrace prediction markets. The agreement introduces new safeguards while expanding access to official league data and branding. However, the move comes amid growing legal disputes over whether sports-related contracts constitute financial trading or illegal gambling.
NBA Establishes Rules for Prediction Market Partners
Under the agreements, both platforms will become the NBA’s preferred prediction market providers. Additionally, they can use official league logos and intellectual property while accessing NBA data.
The league will also influence available markets and share information to protect competition integrity. Moreover, it has established a memorandum of understanding with the Commodity Futures Trading Commission (CFTC).
Consequently, the NBA joins Major League Baseball and the NHL in pursuing partnerships with both companies. The league delayed commercial agreements until it considered the regulatory framework sufficiently developed.
Legal Challenges Cloud Industry Expansion
However, the partnerships arrive as several states challenge prediction markets over their sports-related offerings. New York has joined legal action alleging that Kalshi operates illegal sports betting.
New Jersey has also asked the Supreme Court to review the dispute. Meanwhile, the NFL has supported New Jersey’s request, although it has not partnered with prediction market platforms.
The NBA says its contracts address potential restrictions that could prevent sports markets from operating. Besides, the league expanded its DraftKings agreement to cover prediction market products.
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