Donald Trump Jr. Accuses Gambling Industry of Fighting Prediction Markets — While Having Ties to Kalshi and Polymarket

^{Donald Trump Jr.}

Donald Trump Jr., the son of U.S. President Donald Trump, urged U.S. states not to interfere with the regulation of prediction markets, The New York Times (NYT) reports.

The remarks were made during a private meeting of Republican state attorneys general held in New Orleans in early March. Trump Jr.’s comments had not previously been made public; NYT learned about them from four people familiar with the meeting.

Trump Jr. said opposition to prediction markets is coming from the traditional gambling industry, which views such platforms as a threat to its business. Critics include the American Gaming Association (AGA) and groups representing tribal gaming operators.

He argued that the platforms are already subject to federal oversight and operate as financial instruments, meaning they should be regulated at the federal level.

Trump Jr. himself has ties to some of the biggest companies in the industry. He has served as an adviser to Kalshi since January 2025 and received more than $300,000 worth of shares as part of his compensation. He later became an adviser to Polymarket, while his investment firm, 1789 Capital, acquired a stake in the platform.

A spokesperson for Trump Jr. said he does not engage with federal officials on behalf of either company. Kalshi said his advisory role is focused on marketing.

Polymarket, Kalshi and other industry participants argue that event contracts are financial instruments that fall under federal jurisdiction. State authorities, by contrast, treat sports-related contracts as equivalent to sports betting and require operators to comply with state licensing, taxation and player-protection rules.

Legal disputes over the issue now span 20 states, while in July attorneys general from 44 states described prediction markets as “a new form of casino gambling.” The Trump administration, meanwhile, supports federal oversight of the industry. In 2026, the Commodity Futures Trading Commission filed lawsuits against several states that had sought to restrict prediction markets.