PANews reported on April 21 that, according to Bloomberg, the forecasting market industry is ramping up its lobbying efforts in Washington to cope with increasing regulatory pressure. Firms like Kalshi are hiring lobbying teams to counter potential congressional crackdowns on the industry. Lobbying spending in the first quarter of 2026 is projected to reach at least $1.84 million, a record high and representing a year-on-year increase of over 60%. Kalshi has already registered two new lobbying firms and hired former Obama advisor Stephanie Cutter to expand its influence within the Democratic Party.

Lawmakers have introduced more than a dozen bills, with some Democrats and Republicans hoping to place prediction markets under the same regulatory framework as gambling. The industry, however, argues that they should remain governed by the Commodity Exchange Act. Donald Trump Jr., the president's son, is an investor in Polymarket and a strategic advisor to Kalshi. Traditional gambling also sees prediction markets as direct competitors and is lobbying to include them in the gambling regulatory and tax system.