NBA names Kalshi, Polymarket tip-off partners—and brings the CFTC courtside

The National Basketball Association (NBA) named Kalshi and Polymarket its preferred prediction market exchanges and signed a memorandum of understanding (MOU) with the US Commodity Futures Trading Commission (CFTC) for information sharing aimed at preventing insider trading and fraud in league-related markets. According to Monday’s announcement, the agreements will give the platforms access to official NBA data supplied by Sportradar, the league’s designated data distribution partner, for settling authorized markets.

Both platforms also received rights to use NBA intellectual property and conduct promotional activities in the United States. The partnerships include integrity safeguards that prohibit NBA and team personnel from trading NBA event contracts and require cooperation on suspicious trading investigations. The NBA expanded its existing agreement with DraftKings to cover prediction markets and expects to announce similar arrangements with other industry operators in the coming weeks.

The league release said, “The agreement reflects a shared commitment to ensuring that NBA-related prediction markets are subject to appropriate regulatory oversight and integrity protections.” CFTC Chairman Michael S. Selig said, “The NBA joins the MLB and NHL in taking a responsible step toward protecting sports integrity and market participants from abuses in prediction markets like insider trading and fraud.” The NBA is now joining Major League Baseball and the National Hockey League in establishing similar arrangements with the regulator.

The agreements come amid an ongoing legal battle over whether federal commodities rules supersede state gambling laws governing sports prediction markets. In September, the 6th US Circuit Court of Appeals ruled against Kalshi in a case involving Ohio and Tennessee, following a similar decision by the 9th Circuit. An earlier ruling by the 3rd Circuit allowed Kalshi to continue operating in New Jersey while its appeal proceeds.

On Oct. 20, Utah Attorney General Derek Brown sued Kalshi, alleging that the platform facilitated illegal betting in the state since 2024. Utah officials are seeking an estimated $30 million to $60 million in profits allegedly earned by Kalshi and other defendants. The US Supreme Court has been asked to review the New Jersey dispute, with 39 states and Washington, DC, supporting the petition. The National Football League, which has not entered into commercial partnerships with prediction market exchanges, also backed the petition, arguing that certain sports event contracts threaten game integrity because they are susceptible to manipulation. The justices have not yet agreed to hear the case.