By Callum Keown

DraftKings stock jumped in early Monday trading following a report that lawmakers are seeking to ban sports bets from prediction markets.

Two senators will introduce bipartisan legislation to ban entities regulated by the Commodity Futures Trading Commission from listing contracts related to sporting events, The Wall Street Journal reported. That includes prediction-market companies such as Kalshi and Polymarket. Sen. Adam Schiff (D., Calif.) and Sen. John Curtis (R., Utah) are the bill's co-sponsors, the Journal added.

DraftKings rose 4.7% in early trading, while London-listed FanDuel parent Flutter was up 9.3% in afternoon trading. Both stocks have been hit hard amid the rise in popularity of prediction markets. DraftKings is down 40% over the past year, while Flutter is down around 50% over the same period.

DraftKings even launched its own prediction markets platform in December. "Predictions is rapidly developing into a massive, incremental opportunity, and we are moving with urgency," CEO Jason Robins said in a letter to shareholders following the company's fourth-quarter earnings last month.

"Banning sports on regulated prediction markets would just push this behavior offshore, where no regulation exists," a Kalshi spokesperson told Barron's. "We should let competition run its course," they added.

Polymarket did not immediately respond to a request for comment early Monday. Polymarket has a data partnership with Dow Jones, the publisher of Barron's.

Write to Callum Keown at callum.keown@dowjones.com

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March 23, 2026 10:38 ET (14:38 GMT)

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