Paid PR: NyesteCasino.com reports – igaming industry navigates dual pressures of regulation and growth

From US Senate hearings and a widening circuit split to the localisation of crypto casinos and a surge in World Cup betting activity, igaming operators have been balancing risk management with aggressive growth strategies.

Over the past week, the global igaming sector has faced two powerful and often conflicting forces. Regulators across the US, Europe, Southeast Asia and South America have tightened rules around prediction markets, sweepstakes casinos and credit card usage for deposits. At the same time, online gambling platforms, content providers and policy advisors have accelerated product innovation and executed timely, region-specific sports marketing campaigns.

According to NyesteCasino.com’s team, these developments signal a broader structural transition across the industry – one in which compliance agility is rapidly becoming as critical to success as product quality. Despite increasing regulatory headwinds, the pace of innovation and market demand continues to point toward sustained sector growth.

Prediction markets: courtrooms, Congress and cross-border bans

The week started with a long-awaited US Senate Commerce Subcommittee gathering. The hearing, called ‘No Sure Bets’, took place on 20 May under chair Marsha Blackburn, and Blackburn indicated more sessions to come. The debate between American Gaming Association (AGA) CEO Bill Miller and former congressman Patrick McHenry quickly turned into a clash over the future of prediction markets. While Miller named the sports event contracts as backdoor betting operations bypassing the state licences, tax regulations and integrity safeguards, McHenry talked on behalf of the Coalition for Prediction Markets and opposed him, stating that the current Commodities Futures Trading Commission (CFTC) supervision is working perfectly.

On 22 May, a panel from the Ninth Circuit rejected the stay requests filed by both Kalshi and Polymarket, refusing to halt state enforcement proceedings in Nevada and Washington, which complicated the legal situation even more. The court ruled that a federal pre-emption defence under the Commodity Exchange Act cannot, on its own, establish federal jurisdiction. The ongoing disagreement in the appeals court of New Jersey, which had previously upheld a Kalshi injunction, has gained strength with this decision. Moreover, the process leading to a Supreme Court review of state jurisdiction over event contracts has accelerated even more. 

Indonesia’s Ministry of Communication and Digital Affairs categorised Polymarket as an online gambling site, disregarding its crypto-based structure and has requested a national ban on the market platform on 25 May. The reason for this request was a viral contract regarding whether President Prabowo Subianto would resign before the end of his term in October 2029. The contract generated a trading volume of approximately $46,000. The number of jurisdictions where Polymarket is inaccessible is growing, exceeding 33 around the world now, including India, Brazil and Singapore, among other new blockers.

State-level regulations: an anti-sweepstakes bill from Tennessee

There have also been state-level restrictions in Tennessee on online gambling law. During the same week, Governor Bill Lee signed two vital bills. Senate Bill 2136 made Tennessee the ninth US state to ban sweepstake casinos and dual-currency systems completely, which grants the attorney general the power to enforce it. And, according to the SB 1992, the second bill signed by the governor, anyone who deliberately influences the outcome of an event while holding a prediction market contract will be charged with a Class E felony. It is expected that these bills will guide other state legislatures that are planning similar regulations at the moment.

Europe and Brazil: tax proposals, ad restrictions and credit bans

The European Parliament held a plenary debate on 20 May on a proposed EU-level gambling levy. Budget commissioner Piotr Serafin confirmed the European Commission is actively assessing the option alongside digital services and crypto-asset levies as part of the next Multiannual Financial Framework (MFF). Proponent MEP Victor Negrescu estimated the levy could raise between €2bn and €4bn annually for education, youth and addiction prevention programmes. Opponents from the European People’s Party Group (EPP) andEuropean Conservatives and Reformists (ECR) blocs raised concerns over subsidiarity, competitiveness and national tax sovereignty, with any operational package targeted for January 2028.

Belgium’s Kansspelcommissie and the Netherlands Gambling Authority (KSA) separately issued formal World Cup advertising warnings to licensed operators ahead of the 11 June to 19 July FIFA tournament. France’s regulator, the ANJ, flagged a year-on-year rise of more than 25% in operator marketing budgets as the run-up to the tournament. Meanwhile, Brazil formalised rules on 25 May to close off Pix Crédito as a deposit payment method on regulated betting platforms, a move prompted in part by a Folha de São Paulo audit revealing that major banks including Bradesco and Banco do Brasil, were still processing credit transfers into betting accounts as recently as mid-May.

Editorial perspective

“What this week makes clear is that the igaming sector is entering a phase where regulatory IQ is as strategically important as product development,” said the editorial team at NyesteCasino.com. “The prediction markets debate alone spans courtrooms, congressional hearings and international bans and it is far from resolved. Operators that can track and adapt to this multi-jurisdictional complexity while still executing on World Cup campaigns and localisation strategies will be best positioned for the second half of 2026.”

About NyesteCasino.com

NyesteCasino.com is a leading independent igaming review and analysis platform. The editorial team tracks regulatory developments, operator news and product releases across global markets to help players and industry professionals navigate the evolving online casino landscape. Users can learn more at nyestecasino.com.

For more information, contact Anita Haugen at info@nyestecasino.com