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NBA signs a prediction-market integrity pact that, per its own text, binds no one

The league's Oct. 26 deals give Kalshi and Polymarket NBA marketing rights. Its memorandum with the CFTC creates no legally binding obligations and leaves information sharing to each side's discretion.

By Connor O'Brien · Oct 26, 2026, 3:50 PM EDT

Why it matters: The NBA's prediction-market integrity pact with the CFTC is non-binding by its own text, while the exchanges get commercial rights.

For information only, not investment advice.

The NBA on Oct. 26 named Kalshi and Polymarket its Preferred Prediction Market Exchanges and signed a Memorandum of Understanding with the Commodity Futures Trading Commission. “Protecting the integrity of the game is our top priority,” said Scott Kaufman-Ross, NBA Head of Media Distribution & Partnerships.

Rank the priorities by the paperwork: Each exchange gets rights to NBA IP, marketing rights and official NBA data from Sportradar. The CFTC gets a memorandum that says it doesn't create any legally binding rights or obligations, and spells out the integrity part: "This MOU does not require either Party to create or maintain information or to provide or share information with the other Party, and all sharing of information pursuant to this MOU shall be at the sole discretion of each Party."

Where it commits, it commits to trying: "The Parties will endeavor to share information, upon request, regarding the integrity of professional basketball and the event contract markets related thereto or other matters deemed appropriate by the Parties." Gently, too: "The Parties anticipate that such requests will be made in a manner that is consistent with the goal of minimizing administrative burdens."

"In my league, you don't get to endeavor. You get to buzz," said a shot clock who asked not to be named because the NBA now licenses its likeness to two exchanges.

CFTC Chairman Michael S. Selig was pleased anyway: "The NBA joins the MLB and NHL in taking a responsible step toward protecting sports integrity and market participants from abuses in prediction markets like insider trading and fraud." To be fair, the league says its deals with Kalshi and Polymarket include information-sharing obligations on investigations and suspicious trading. So the obligations went to the companies getting the logo, and the regulator got a pledge to endeavor.

"From at least the NBA standpoint, we have roughly 40 different jurisdictions regulating us right now," NBA Commissioner Adam Silver told CNBC. Make that roughly 40 jurisdictions and one memo that politely requires nothing.

Tags: regulation · exchanges