Share 
Two stalwarts of the Las Vegas casino community, Caesars and MGM, will not risk their casino licenses to pursue expansion into the prediction market arena. During a panel at the Global Gaming Expo last week, MGM CEO Bill Hornbuckle and Caesars CEO Tom Reeg cited warnings from Nevada regulators as a primary driver of their decision.
“Nevada regulators have absolutely said to us, ‘If you stretch out and do this, it’s going to impact your licensing,” Hornbuckle said.
MGM was on the fence
MGM briefly considered entering prediction markets in 2025, but warnings from the Nevada Gaming Control Board ultimately steered it clear.
The NGC, the primary regulatory agency that oversees brick-and-mortar operators and online casinos in Nevada, has warned license holders that offering prediction contracts on sporting events could jeopardize their ability to legally operate in the state. A wave of litigation in Nevada ultimately led to Kalshi’s ouster when a district court found that they were subject to gambling laws.
CEOs cite oversight concerns
Both Hornbuckle and Reeg expressed concern over the lack of oversight of prediction markets, specifically calling out a lack of guardrails against insider trading. Reeg highlighted a contract on Kalshi on the potential sale of Caesars in 2026. Reeg commented that he did not see anything in the prediction market’s rules that prevented him from purchasing a contract.
“There was nowhere in their rules that said I couldn’t place a bet.”
American Gaming Association draws firm line against prediction markets
The American Gaming Association, the largest trade organization in the gambling industry, maintains that prediction markets equate to illegal gambling and has backed several legal challenges against them throughout the country. Their position led to DraftKings, FanDuel, and Fanatics leaving the group. Each has recently launched a prediction product.
