Infiniti Briefing

FTC review centers on sportsbook advertising

The Federal Trade Commission is examining the $167 billion online sports gambling industry, with attention expected to fall on sportsbooks rather than prediction markets, according to CDC Gaming.

Citing three sources familiar with the matter, CDC Gaming reported that FanDuel and DraftKings are among the online sportsbooks expected to be the focus. The likely issue is whether advertising has been deceptive or misleading; the report does not establish that either company violated any rules.

Early-stage scrutiny

Both political appointees and career staff at the FTC have participated in the sportsbook review, according to CDC Gaming. The assessment remains at an early stage, and the outlet described it as previously unreported.

The scrutiny comes amid contrasting political signals. CDC Gaming reported that the White House has praised the industry, while some conservative activists have grown increasingly skeptical.

Kalshi and Polymarket are not expected to fall within the review, according to the report. That is an expectation about the probe’s scope, rather than a definitive exclusion.

What it means for prediction markets

• Scope is the key distinction: The reported review targets online sportsbooks and likely advertising practices, not prediction-market platforms.
• Kalshi and Polymarket appear outside this inquiry: The reporting does not, however, establish a broader exemption from regulatory scrutiny.
• The process is preliminary: An early-stage review should not be treated as a finding of misconduct or a completed enforcement action.