Warren Plans Prediction Market Crackdown from Senate Banking Chair

prediction market crackdown — Senator Elizabeth Warren intends to launch a regulatory crackdown on prediction markets, a move directly impacting crypto-native platforms like Polymarket, when she assumes the chair of the powerful Senate Banking Committee in January.

An aide to the Massachusetts Democrat described the sector’s current state as a “Wild West-style lack of oversight,” according to Punchbowl News. Warren’s agenda includes using the committee’s investigative powers to target insider trading and manipulation on election betting platforms.

Warren recently co-authored a bipartisan letter with Senator John Curtis (R-Utah) to Polymarket and Kalshi, demanding to know how the companies prevent political insiders from trading. The senators cited concerns about candidates betting on their own races and alleged wash trading on Polymarket.

The push places crypto-based event contracts at the center of a political fight. It sets Warren, a long-time crypto critic, as a counterweight to the CFTC, which has been defending federally registered platforms like Polymarket from state-level legal challenges throughout 2026.