Trump Wavers on Prediction Markets, Las Vegas Losing Beloved Sportsbook in This Week’s Bingos & Busts
President Trump may not be the staunch proponent of prediction markets many believed, as we look back at this week's news around the gambling industry.
It’s been a particularly tough week for prediction markets, and that’s saying a lot. The most damaging headlines came Thursday, with reports that a US special forces soldier has been arrested by the Department of Justice for insider trading. In more humorous but still serious news, an investigation is underway in France after a thermometer at Charles de Gaulle Airport in Paris was tampered with (a hairdryer?), resulting in a Polymarket user profiting $21,398 from a $119 trade.
While prediction markets are dominating industry conversation, other news this week sees one of Las Vegas’ favorite sports betting joints undergoing an unwelcome change, a boost for a marquee race in a struggling horse racing state, and a state’s stalled effort to legalize sports betting.
Here’s is our weekly rundown of the good and bad in the gambling business:
Bust: Are Prediction Markets Losing Their Most-Critical Ally?
He hadn’t said much publicly about the emerging asset class, but given his CFTC nominations, Donald Jr.’s ties to Kalshi and Polymarket, and plans to launch his own platform, President Trump sure seemed to be in prediction markets’ corner. With a wave of negative news this week, which includes Kalshi sanctioning three congressional candidates and the DOJ’s arrest of U.S. Army Master Sgt. Gannon Ken Van Dyk for using insider information to profit over $400,000 on Polymarket from the capture of Nicolas Maduro, Trump appears to be wavering. “I was never much in favor of it. I don’t like it conceptually, but it is what it is,” he said. Trump’s at least tacit support has been a massive factor in prediction markets’ momentum; without it, even their short-term future becomes cloudier.
Bingo: Maryland Horse Racing Gets Shot in the Arm
Churchill Downs Inc.’s $85 million acquisition of the Preakness Stakes’ intellectual property rights promises to put a fresh shine on the Triple Crown’s second jewel. While operation of the race remains in the hands of the Maryland Jockey Club, the structure of the deal – which includes the state paying a base fee of $3 million that increases 2.5% annually starting in 2028, plus 2% of handle from Preakness and Black-Eyed Susan race days – gives CDI a vested interest in growing the event. The move bolsters a horse racing rejuvenation in Maryland and could portend an expansion of historical horse racing into the state. This year’s Preakness is set for Laurel Park, expected to return to Pimlico in 2027 after a $400 million renovation of the 155-year old track .
Bust: Westgate SuperBook Snapped Up by Caesars
The number of sharp sportsbooks in Las Vegas is being reduced from very few to one less, with the announcement that Caesars is taking over operations of the beloved Westgate SuperBook, one of town’s last independent shops. The SuperBook has been run by some of the smartest sports betting minds in the business, who have created an environment revered by sharp and recreational bettors alike. Under new management, the former will likely no longer be wanted, and the change also muddies the future of the famed SuperContest.
Bingo: BetHog Lands $10 Million Series A
The eight-figure funding round comes in conjunction with the unveiling of AI-dealer technology that BetHog founder Nigel Eccles promises to be better than live dealers. It’s an admittedly bold and controversial take, but the industry stalwart makes a compelling case: “[P]layers are 10 times more likely to try our AI-powered live dealer than a human-powered live dealer. They report it as more welcoming and less intimidating.” Not everything Eccles has touched since FanDuel has turned to gold, but with the scale and UX offered by the new tech, BetHog is a company to watch.
More on BetHog: Eccles Pushes Back on ‘Crypto = Criminal’ Narrative Amid Sportradar Allegations
Bust: Oklahoma Sports Betting Bill Fails
The Oklahoma State Senate stymied a bill revived by the House to legalize sports betting that had the support of tribes, the OKC Thunder and state universities. HB 1047 was defeated by a 21-27 vote, the opposition voicing ethical concerns about the proliferation of gambling, despite Sen. Bill Coleman rationalizing that sports betting is already happening in the state on prediction markets, offshore books, etc. Coleman vows to give it another go next year, when Gov. Kevin Stitt, who opposes tribal exclusivity, will be out of office.
Bingo: PENN Clocks Solid Quarter As Strategy Shifts
Shedding its weighty ESPN deal, PENN Entertainment outperformed market expectations in Q1 2026, driven by a 15% increase in revenue from iGaming, a segment the company says is a focus moving forward. The industry as a whole has long been anxious about the expansion of legal online casinos, of course, but PENN believes it is well-positioned for the eventuality. Also, thanks to theScore Bet, PENN’s Canada-based flagship brand, the outlook is bright for the upcoming launch of the regulated market in Alberta.
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