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Democrats Push DEATH BETS Act After U.S.–Iran Prediction Market Controversy

Democrats Push DEATH BETS Act After U.S.–Iran Prediction Market Controversy

According to the new bill announcement, U.S. lawmakers introduced the BETSOFF Act to ban certain prediction market bets tied to government actions, war, terrorism, and assassination events, with payment blocking and criminal penalties.

Fact Check
The reports from CoinDesk and Crypto.news confirm that Democratic lawmakers (Schiff, Murphy, Casar) are advancing legislation (DEATH BETS Act and BETS OFF Act) specifically in response to prediction market activity surrounding U.S.-Iran tensions and suspected insider trading by government officials.
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Summary

Senator Chris Murphy and Representative Greg Casar announced the BETSOFF Act on July 17 to prohibit prediction market bets on government actions, terrorism, war, and assassination events. The measure would enforce the restrictions in the U.S. through payment blocking and criminal penalties for operators. This adds a new legislative push to broader Democratic efforts to limit prediction market activity linked to sensitive events and potential insider knowledge.

Terms & Concepts
  • Prediction market: A market where participants trade contracts tied to future events, with prices often interpreted as implied probabilities of outcomes.