Restricts the use of prediction markets and/or mobile sports wagering platforms by officers or employees of a state agency, members of the legislature or legislative employees when using information acquired by such public officer in the course of their official duties.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A9635
SPONSOR: Steck TITLE OF BILL:
An act to amend the public officers law, in relation to prohibiting the
use of prediction markets and/or mobile sports wagering platforms by
certain public officers when using information acquired by such person
in the course of their official duties
SUMMARY OF SPECIFIC PROVISIONS:
Section 1. Subsection 3(c) of article 74 of the public officers law is
amended to read as follows: c. No officer or employee of a state agency,
member of the legislature or legislative employee should disclose confi-
dential information acquired by him or her in the course of his or her
official duties nor use such information acquired by him or her in the
course of his or her official duties to further his or her personal
interests, including using that information to participate in prediction
markets and/or mobile sports wagering platforms that include but are not
limited to
*Polymarket
*Kalshi
*PredictIt
*Iowa Electronic Market
*Auger
*Robinhood
*FanDuel
*Draftkings
PURPOSE AND JUSTIFICATION:
In the days before the United States Government launched the operation
to capture the President of Venezuela, Nicolas Maduro, an anonymous user
created an account and placed four bets on Polymarket regarding the
capture of Maduro, resulting in a payout of over $400,000. While the
identity of this user has yet to be determined, it is speculated that
someone with firsthand knowledge of the operation profited from the
information they acquired during their official duties.
Some online prediction markets, like Polymarket, do not have rules
against insider trading. In fact, the CEO of Polymarket, Shayne Coplan,
has stated he believes that insider trading on his platform is a good
thing. At an Axios Business event, he said, "what's cool about Polymark-
et is that it creates this financial incentive for people to go and
divulge the information to the market".
To prevent insider trading from happening on prediction markets in New
York State, this legislation will prevent New York State elected offi-
cials, staff of an elected official, agency officials, and employees of
a state agency from using information acquired by them in their official
duties to profit from that information on online prediction markets and
sports wagering platforms.
This legislation mirrors legislation introduced by New York State
Congressman Ritchie Torres that bars federal officials, political
appointees, Executive Branch employees, and congressional staff from
using information obtained in their official duties to profit off of
online prediction markets 1.
LEGISLATIVE HISTORY:
New Legislation
FISCAL IMPLICATIONS:
None
EFFECTIVE DATE:
This act shall take effect on the ninetieth day after it shall become
law.
1 https://www.businessinsider.com/
ritchie-torres-Insider-trasymarkel:goverDrnent-__Officialsmaduro-venezuel
a-2026-1
STATE OF NEW YORK
________________________________________________________________________
9635
IN ASSEMBLY
January 21, 2026
___________
Introduced by M. of A. STECK -- read once and referred to the Committee
on Governmental Operations
AN ACT to amend the public officers law, in relation to prohibiting the
use of prediction markets and/or mobile sports wagering platforms by
certain public officers when using information acquired by such person
in the course of their official duties
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraph c of subdivision 3 of section 74 of the public
2 officers law, as amended by section 7 of part K of chapter 286 of the
3 laws of 2016, is amended to read as follows:
4 c. No officer or employee of a state agency, member of the legislature
5 or legislative employee should disclose confidential information
6 acquired by [him or her] such person in the course of [his or her] their
7 official duties nor use such information acquired by such person in the
8 course of their official duties to further [his or her] their personal
9 interests, including using that information to participate in prediction
10 markets and/or mobile sports wagering platforms that include, but are
11 not limited to:
12 (i) Polymarket;
13 (ii) Kalshi;
14 (iii) PredictIt;
15 (iv) Iowa Electronic Market;
16 (v) Auger;
17 (vi) Robinhood;
18 (vii) FanDuel;
19 (viii) DraftKings.
20 § 2. This act shall take effect on the ninetieth day after it shall
21 have become a law.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14464-01-6
