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U.S. lawmakers urge CFTC to ban wildfire betting in prediction markets

Nine Democratic U.S. senators urged the Commodity Futures Trading Commission to ban prediction-market contracts tied to wildfires, saying such betting could incentivise arson, enable insider trading and undermine public safety. The senators cited Polymarket taking in more than $1.2 million in bets linked to California wildfires in 2025 and said other new platforms also allow wildfire wagers. Their push comes as prediction markets expand and face rising legal and political pressure over regulation.