New York Assemblyman Clyde Vanel has reintroduced legislation aimed at restricting the types of event contracts offered by prediction markets.
The ORACLE Act would limit markets linked to sports, politics, the stock market and other sensitive events.
The bill seeks to ban sports contracts tied to individual match outcomes, while still allowing wagers on season-wide results such as championship winners.
It would also prohibit prop betting that focuses on specific in-game events or individual player performances.
Prediction markets tied to elections, government actions, deaths or catastrophic events would be outlawed under the proposal.
The legislation would bar markets related to war, national emergencies, terrorism, mass shootings and public health crises.
Platforms would be required to introduce user protections such as self-exclusion tools and limits on time and spending.
Operators that continue offering banned markets in New York could face fines of up to $1 million per day.
The bill comes as prediction platforms such as Kalshi and Polymarket face growing scrutiny from state gambling regulators.