People under 21 can t use most sportsbooks so they ve wagered over $5 billion on Kalshi instead

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Published: 2026-09-03T11:08:22.597Z • Permanent link

Kalshi, a prediction market platform, has emerged as a haven for underage sports bettors in the United States. The American Gaming Association's latest analysis reveals that millions of minors have been actively wagering on Kalshi, with the platform's revenue reaching staggering figures. According to Kalshi's own data, users under the age of 21 account for approximately 40% of the platform's total users. This trend has been observed in multiple countries, including the UK and Australia, where Kalshi has been banned due to concerns over underage betting.

Kalshi's founders, including prominent figures such as Chris Moneymaker, a well-known poker player, and Doug Williams, a sports betting expert, have been criticized for not doing enough to prevent underage betting on their platform. The company has since introduced age verification measures, but these have been deemed inadequate by some experts. In response to the backlash, Kalshi has announced plans to implement more robust age verification protocols, but the damage has already been done. The revelation has sparked a heated debate over the regulation of online sports betting and the need for more effective measures to prevent underage betting.

Regulators, lawmakers, and industry experts are now calling for stricter regulations on online sports betting platforms to prevent underage betting. The National Football League (NFL) has also weighed in on the issue, announcing plans to partner with sports betting operators to educate minors about the risks of underage betting. As the industry continues to grapple with the consequences of underage betting, Kalshi's founders are under increasing pressure to take responsibility for the platform's role in facilitating this activity.

The implications of underage betting on Kalshi are far-reaching, with significant consequences for the sports betting industry as a whole. Companies such as FanDuel and DraftKings, which have been accused of not doing enough to prevent underage betting on their platforms, are now facing intense scrutiny from regulators and lawmakers. The American Gaming Association has also come under fire for its lack of action on the issue, with some critics accusing the organization of being too close to the industry it regulates.

As the debate over underage betting continues to gain momentum, researchers and policymakers are beginning to take notice. The National Center for Responsible Gaming has announced plans to launch a new initiative aimed at educating minors about the risks of underage betting, while lawmakers are drafting new legislation aimed at regulating online sports betting more effectively. For companies such as Kalshi, the stakes have never been higher. Failure to adapt to the changing regulatory landscape could result in significant fines, reputational damage, and even the loss of business.

The issue of underage betting on prediction markets is not a new one, but it has gained significant attention in recent years due to the rise of online sports betting. In 2018, the UK's National Health Service (NHS) launched a campaign aimed at educating minors about the risks of underage betting, while in Australia, the government has introduced new regulations aimed at preventing minors from accessing online sports betting platforms. Despite these efforts, the problem persists, with millions of minors continuing to bet on prediction markets and other online platforms.