BETS OFF Act

Summary#

This bill, called the "BETS OFF Act," would make it illegal for any person to place, accept, or help place or accept a wager about a "specified event." A specified event includes: (A) an act of terrorism, (B) an assassination, (C) a war, or (D) any event whose main characteristic is not financial and that either is an action by a government or official, has an outcome completely controlled by a person, or has an outcome known in advance. The bill defines "wager" as risking something of value on the outcome of an event, and it specifically excludes certain types of insurance (for example federal terrorism, flood, and crop insurance and insurance covered under state or foreign law described in the bill).

The Attorney General may sue in federal court for an injunction against anyone who violates the prohibition. The bill also amends several federal statutes to include the prohibited conduct in existing criminal and financial statutes: it inserts the conduct into provisions of title 18 (related to interstate travel in aid of racketeering and illegal gambling businesses), into the definition used in the federal prohibition on funding unlawful Internet gambling (title 31), and into the Commodity Exchange Act to bar listing or clearing of contracts, swaps, or indexes tied to specified events. The bill includes a severability clause and takes effect 30 days after enactment.

What it means for you#

  • Individuals: You could not legally place or accept bets on the listed types of events (terrorism, assassinations, wars, or other specified nonfinancial events).
  • Online platforms and facilitators: Platforms that take, place, or help place such wagers would be covered by the prohibition and could face legal action; the Attorney General may seek a court injunction to stop violations.
  • Financial and commodity markets: Registered entities could not list or clear contracts, swaps, or any instruments tied to specified events, including related indexes or measures, under the amendments to the Commodity Exchange Act.
  • Insurance: The bill says customary insurance products described in the text (state-law insurance, certain foreign insurance, and federal programs like TRIA, NFIP, and federal crop insurance) are not "wagers" and are not covered by this prohibition.
  • Timing: The rule would start 30 days after the bill becomes law.

Expenses#

No publicly available information on costs or budgetary effects is included in the bill text or provided metadata.

Proponents' View#

No publicly available information.

Opponents' View#

No publicly available information.