Bill > SF4511

This bill prohibits certain activities related to prediction markets, which are systems where people can wager on the future outcome of events like athletic contests, political elections, or even weather. Specifically, it makes it a felony for anyone to create, operate, manage, or control a platform for these prediction markets, or to facilitate them by identifying events, handling funds, setting terms, or acting as a counterparty to wagers. The bill also makes it a felony to advertise or market financial or technological products that promote these prohibited prediction market transactions. The term "wager" is defined as a contract where parties agree to a gain or loss of money or property. This prohibition does not apply to activities already considered not to be bets under existing law or to contracts regulated under specific insurance and financial chapters. Additionally, the bill amends existing law to disqualify individuals with certain criminal convictions from receiving a lawful gambling license, and it empowers the director to issue cease and desist orders and seek injunctions against violations of these new prediction market prohibitions. These provisions are set to take effect on August 1, 2026.