NFL Takes U-Turn as It Warms Up to Prediction Markets

The NFL, which staunchly rejected prediction markets, is now seemingly warming up to the idea, at least according to one of its top dogs. The same person, who previously said that he was troubled by event contracts’ existence, is now curious about their long-term potential as a “fan engagement tool.”

NFL Representative Says Event Contracts Are an Engagement Tool

In an interview with Front Office Sport, the NFL’s EVP of communications, public affairs, policy, and health and safety initiatives, Jeff Miller, seemed to be warming up toward the idea of prediction markets. Despite previously rejecting the sector, Miller now acknowledged the sector’s dynamic and innovative nature.

In his interview, Miller described prediction markets as a “fan engagement tool” and said that such products have always been good for the league. He acknowledged that the regulatory landscape is still shifting and that he doesn’t know for sure what regulation is going to look like, but he seemed convinced that prediction markets are here to stay.

Miller added that the NFL’s principles will remain unchanged and that the league will continue to monitor the rapidly growing prediction markets sector in the years to come.

Interestingly, Miller’s apparent openness to the idea of prediction markets came only a couple of months after he staunchly rejected them.

Miller Was Not Always So Open to the Idea

In December, Miller expressed significant concerns with the prediction markets sector. In a written testimony to the House Committee on Agriculture, he said that the NFL is very troubled by the event futures contract providers that have been launched across the nation, including in states that do not have a legal betting market.

Miller, in his testimony, explicitly stated that prediction markets “fall outside the purview of state regulatory authorities and the safeguards they impose upon the industry.” He was also concerned about the industry’s broader integrity implications. As a result, he stated that the CFTC should prohibit questionable bets and introduce firm integrity safeguards before legalizing event contracts.

Experts noted that the apparent change in stance mirrors the NFL’s relationship with sports betting, which likewise started on the wrong foot.

In the meantime, the legality of prediction markets remains murky amid multiple lawsuits by state authorities claiming that the CFTC-regulated sector undermines the legal betting industry, setting a dangerous precedent. Many state regulators classified event contracts as betting, despite their decentralized nature, therefore saying that they should be regulated like betting is.