MLB Bans Players from Prediction Markets Amid Betting Scandal

UPDATE: Major League Baseball (MLB) has just announced a significant ban on players participating in prediction markets, following serious betting-related allegations. This urgent memo, issued from Commissioner Rob Manfred‘s office, informs players they are prohibited from engaging in any event contracts on platforms like Kalshi and Polymarket.

The memo, dated August 26, 2025, was shared with players across all levels of MLB, including minor leagues, and highlights a growing concern within the league amidst a brewing scandal. Two current players, Emmanuel Clase de la Cruz and Luis Leandro Ortiz Ribera, face serious charges linked to a scheme allegedly involving hundreds of thousands of dollars in rigged bets on MLB games.

“Several companies are now offering what they call ‘prediction markets,’ which allow members of the public to risk money on the outcome of specific events, including baseball,”

the memo warns. This crackdown comes as the league grapples with the implications of sports betting, an area MLB has embraced in recent years, partnering with firms like DraftKings and FanDuel to promote legal betting.

While Major League Baseball has previously celebrated the legalization of sports betting, the rise of prediction markets has raised alarm. These platforms allow users to bet on outcomes of various events, mirroring traditional sports betting but without the same regulatory scrutiny.

The response from MLB signals a critical shift in the league’s approach to betting as the integrity of the sport is called into question. As the news of the memo circulates slowly among players, it highlights the league’s urgent need to address the complexities of modern betting practices.

In contrast, other leagues like the NHL have already established relationships with prediction market companies, while the NFL has expressed reservations. On December 3, NFL Commissioner Roger Goodell confirmed the league will not participate in prediction markets until there is a satisfactory regulatory framework in place, citing ongoing legal challenges.

As the MLB investigation unfolds and more details emerge, the focus on player conduct in relation to gambling will intensify. Fans and stakeholders are urged to follow this developing story closely as it could have substantial repercussions for the league’s integrity and future betting policies.

Stay tuned for updates on this evolving situation as Major League Baseball navigates the complexities of betting in sports.