Shares of sports-focused firms declined in Wednesday’s after-hours session following a New York State bill seeking to ban sports-related prediction markets for residents.
Sports Stocks Feel The Pinch
Genius Sports, which provides services for sports leagues and betting partners, fell nearly 3% after-hours. Similarly, shares of companies involved in sports betting, including DraftKings and Flutter Entertainment, also came under pressure, declining by 0.79% and 4.26%, respectively.
A Blow To Sports Betting?
The sell-offs could be linked to a recent New York State legislation that aims to prohibit sports-related and event-based betting on platforms like Kalshi.
The bill, also known as the ORACLE Act, proposes to ban several categories of markets for New York users, including wagers based on
New York’s Move To Ban Sports Betting In Prediction Markets Like Kalshi Sends These Stocks Lower: What You Should Know
