Churchill Downs Inc. (CDI) and the horse racing industry are pushing back against prediction markets that allow wagering on horse racing outcomes without licensing or revenue-sharing agreements. CDI CEO Bill Carstanjen emphasized that horse racing operates under the federal Interstate Horseracing Act, which grants the industry intellectual property rights over wagering content, requiring explicit consent for bets on racing events. Unlike other sports, horse racing benefits directly from state-regulated pari-mutuel wagering, which funds tracks and purses, so unlicensed prediction market betting threatens the sport’s financial ecosystem. CDI, which owns the licensed TwinSpires.com platform, refuses to license its content to prediction markets, viewing them as a threat that diverts money away from regulated outlets.

The National Horsemen’s Benevolent and Protective Association (NHBPA) is also raising awareness about this issue, with a panel discussion planned to address the threat prediction markets pose to horse racing revenue and the Interstate Horseracing Act. NHBPA CEO Eric Hamelback criticized prediction market operators for circumventing regulations by labeling wagers as “contracts” and not seeking industry approval or revenue sharing. Industry leaders stress the importance of vigilance and collective action to protect horse racing’s legal and financial interests, leveraging the unique federal protections the sport enjoys to counter unlicensed wagering platforms.