Week of 5/24: Gambling
Gambling harms our children. A recent survey revealed that more than one-third of adolescent boys admitted to gambling. Many children are introduced to gambling through targeted social media algorithms, which increases their risk of developing gambling disorders. Gambling disorders later in life are strongly associated with substance use, criminal activity, and suicide.
Sports betting corporations lobbied successfully for legalization of sports betting. In May 2018, the US Supreme Court legalized sports betting in Murphy v. NCAA. Delaware already had a legalization bill on the books, and it became active after that ruling. Delaware opened retail sports betting in 2018, and online sports betting in 2023.
A new concern is facing our families with the rise of online prediction markets such as Kalshi and Polymarket. These prediction markets have angered parents with well-founded allegations of youth targeting and lack of age-restriction enforcement. Kalshi previously employed a 15-year-old to promote their product. In another example, Kalshi exploited the financial nihilism of our youth by running an ad claiming that a woman paid her rent for two years through trading on their app.
Why do these online prediction markets target our youth? Well, it’s because they “spend money recklessly,” according to a Kalshi supervisor (a claim refuted by the company). Kalshi is currently valued at $22 billion. Polymarket is valued at $11 billion.
Since prediction markets involve trading against other players, not a casino or bookie, they avoid many regulations from state gambling commissions. They are instead overseen by the federal Commodity Futures Trading Commission (CFTC), which is more lenient.
I think prediction markets are gambling. I think targeting our youth with gambling is wrong.
As a psychiatrist, I have witnessed the consequences of gambling addiction on our families and our community. The neurobiological mechanisms in the ventral striatum and elsewhere in the brain are largely the same as cocaine! The dopamine burst dulls real life excitement and leaves one wanting more and more until nothing is left.
As your State Representative, I would apply this knowledge to legislate youth protections from these hazards. And I will never accept a contribution from the gambling industry. Don’t risk sticking with the status quo. Our community deserves better.
If you are experiencing a problem with gambling, please call the Delaware Gambling Helpline at 888-850-8888, or visit https://dge.delaware.gov/help/index.shtml
Until next time,
Dr. Rob Bahnsen
Candidate for State Representative, District 12
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