Pennsylvania bill targets gambling firms on prediction markets after July 22 filing

Pennsylvania Representative Tarik Khan's HB 2711 would restrict how prediction markets operate in the state by barring platforms from using liquidity providers or market makers that knowingly conduct gaming activity in the ordinary course of business, whether inside or outside Pennsylvania. The bill, introduced July 22 and referred to the House Consumer Protection, Technology and Utilities Committee, has 24 sponsors in total — 20 Democrats and four Republicans. It would also prohibit prediction platforms from contracting with or sharing revenue with businesses that ordinarily engage in gaming, set a minimum age of 21, require the exclusion of self-excluded users and certain insiders, and ban contracts tied to high-school sports, sporting events involving minors, individual health conditions and so-called death markets. Enforcement would rest with the Attorney General rather than a licensing regime. A separate bill, HB 2497, introduced May 8 by Representative Danilo Burgos and co-sponsored by Khan, would require Pennsylvania Gaming Control Board licenses costing $1 million upfront and $1 million annually, impose a 20% tax on gross prediction-wagering revenue plus a 2% local share assessment, and fine unlicensed operators up to $25,000. Neither measure has received a committee hearing or vote.