New York Proposes ORACLE Act to Regulate Prediction Markets
New York state legislators have reintroduced the ORACLE Act, aiming to regulate the prediction markets sector by adding Chapter 48 to the General Business Law. The bill targets event-based contracts, introducing mandatory age restrictions, advertising limitations, and measures against market manipulation.
Crucially, the ORACLE Act prohibits contracts tied to political elections and specific sporting event outcomes to prevent corruption and manipulation. It also mandates Know Your Customer (KYC) protocols. This legislation impacts decentralized finance and Web3, particularly platforms like Polymarket and Kalshi, as it seeks to balance innovation with consumer protection and market integrity.