Texas Lt. Gov. Tasks Committees with Prediction Markets, Crypto Probes

AUSTIN, Texas - Texas Lieutenant Governor Dan Patrick has directed Senate committees to investigate prediction markets and cryptocurrency regulations as part of interim charges issued ahead of the state's 2027 legislative session, aiming to address gambling loopholes and emerging financial technologies.

In a Friday announcement, Patrick's office outlined priorities for committees to study before lawmakers convene in January for the 140-day session. The charges reflect concerns over the rapid growth of prediction markets, which have surged since late 2024 amid heightened interest in U.S. elections. Patrick tasked the State Affairs Committee with examining the "sudden inundation of prediction market gambling and the exploitation of federal law to circumvent Texas gambling prohibitions," particularly bets on elections and other events. Texas maintains some of the nation's strictest gambling restrictions, limiting activities to Native American reservation casinos and the state lottery.

Patrick emphasized protecting election and sports integrity, directing the committee to "make recommendations to ensure the integrity of Texas elections and Texas sports." He views these platforms as...