Despite recent battles involving prediction markets and state gaming regulators, Major League Baseball became the latest professional sports league to partner with one of the companies.
Not only that, but they partnered with the regulatory body.
The league signed a deal with Polymarket last week, making the company MLB’s official prediction market exchange. The news also included a memorandum of understanding (MOU) with Michael S. Selig, chairman of the Commodity Futures Trading Commission (CFTC), which regulates the industry.
This agreement with CFTC came a year after MLB asked it to create strong integrity protections in the prediction market space. The league pursued the MOU to ensure game integrity issues would yield swift responses from the CFTC.
“The new agreements that we formed with Polymarket and the CFTC are imperative steps in proactively managing the new and rapidly growing prediction market space,” Commissioner Rob Manfred said.
“Protecting the integrity of the game on the field is our top priority. By engaging in this community, we are able to work together to create clear boundaries, with the goal of mitigating risk while providing fan engagement opportunities.”
Protecting The Game
As part of the agreements with Polymarket and the CFTC, the organizations plan to share information regarding the integrity of professional baseball and related prediction markets. This information will be treated confidentially, according to MLB, and representatives from each organization will meet regularly to discuss issues that may impact game integrity.
“Polymarket is about bringing fans closer to the moments that define sports,” Polymarket founder and CEO Shayne Coplan said. “By working collaboratively with Major League Baseball and regulators, we can create new ways for fans to engage with the game while protecting the integrity of the sport.”
The league also plans to communicate with other prediction market companies about issues surrounding integrity, according to the league.
Other Leagues Also Sign On With Prediction Markets
The MLB deal follows the National Hockey League, which partnerered with both Polymarket and Kalshi in October. The agreement gave the platforms access to NHL data and logos, and both brands will be featured during broadcasts. The UFC and MLS also have deals in place with prediction markets.
In other MLB news, federal authorities indicted two Cleveland Guardians pitchers in November on charges of rigging pitching prop bets.
In the same month, the league reached agreements with sports betting operators to limit “micro bet” prop wagers on specific pitches.
