The NBA is teaming up with prediction markets

The NBA is joining forces with Kalshi and Polymarket, as it becomes the latest sports league to partner with prediction markets.

The league announced the partnerships Monday amid a series of sports betting scandals that have put its reputation on defense.

Here’s the game plan

Kalshi and Polymarket will become the NBA's preferred prediction market platforms, receiving access to official league data along with IP rights to use their logos.

Under the new agreements, the league will have more say over which NBA-related prediction markets (essentially sports bets) are offered, while gaining access to trading data that could help identify suspicious activity.

• Certain bets are off the table, including those involving individual plays—like the opening tip or first basket—and bets on players to underperform when they're expected to play under 12 minutes.
• NBA and team personnel are prohibited from trading NBA event contracts, while Kalshi and Polymarket are required to share info on any suspicious trading and investigations.

Regulators are also mounting a fierce defense. A coalition of attorneys general from 39 states plus Washington, D.C., have thrown their support behind a case brought by New Jersey, which argues sports-related contracts offered by prediction markets are effectively gambling products operating outside state betting laws.

Looking ahead…New Jersey is asking the Supreme Court to allow states to regulate prediction markets under existing gambling laws, while the markets maintain they should abide by guidelines only set by the federal government.