Prediction markets were part of a busy week for the U.S. gambling sector. Dana White’s tax appeal to Donald Trump, a scaled-back Truth Predict plan and Polymarket’s wider U.S. rollout all drew attention. The week also marked eight years since the U.S. Supreme Court struck down PASPA on May 14, 2018, opening the door for states to legalise sports betting.
Dana White asks Trump to change gambling tax rule
UFC president Dana White asked President Donald Trump to support a rollback of the new federal gambling loss deduction cap. The rule limits gambling loss deductions to 90%, down from the previous 100% deduction against winnings. It took effect on January 1 and has been criticised by bettors, professional gamblers and gaming industry groups.
White said the rule could leave people owing tax even when they do not make a gambling profit overall. His intervention added a high-profile sports figure to an issue already being pushed by Nevada lawmakers and the American Gaming Association.
Prediction markets also reacted to the tax debate. Prediction market prices on a repeal before 2027 rose after White’s letter and renewed political attention.
Truth Predict scales back launch plan
Trump Media’s prediction market plan also changed during the week. Truth Predict had been announced as a product that would offer markets on elections, economic indicators, commodities and sports through a partnership with Crypto.com.
The plan now looks more limited. Trump Media’s latest filing describes Truth Predict mainly as a marketing and promotion collaboration with OG.com, Crypto.com’s prediction market platform.
That shift matters because prediction markets have been attracting more operators, trading platforms and gambling companies. Not every planned product is reaching market in the same form.
Sports betting reaches eighth anniversary
The week also marked the eighth anniversary of legal sports betting’s modern U.S. expansion. Since the PASPA ruling, most states have adopted some form of legal sports wagering. The market has created new tax revenue and media partnerships, but it has also brought tougher questions around advertising, customer limits, problem gambling and the line between sportsbooks and prediction markets.
