Bill > A09251

This bill establishes regulations for prediction markets, which are platforms allowing consumers to bet on the outcomes of future events, by adding a new article to the general business law. It defines key terms such as "consumer" (a New York resident), "prediction market platform" (any service facilitating these bets), and various types of prohibited markets, including "catastrophic event markets" (related to disasters, emergencies, or public health crises), "political markets" (concerning New York state or local elections or government actions), "death markets" (betting on a person's death or assassination), "athletic event markets" (related to sports, including horse racing and prop betting), and "unlawful commodity markets" (those violating existing laws). The bill prohibits prediction market platforms from allowing New York consumers to participate in these specific types of markets and declares any contract provisions that attempt to waive these consumer rights void. The Attorney General is granted authority to enforce these provisions, with penalties including civil fines of up to $10,000 per violation, or up to $50,000 for persistent violations, and potentially twice the profits derived from prohibited markets. The Attorney General can also seek injunctions to stop operations and impose a daily penalty of $1 million for continued operation after an order to cease. The bill also clarifies that these penalties are in addition to any other criminal or civil actions and that the absence of profit or charging money does not exempt a provider from violations.