The annual March Madness NCAA basketball tournament is a top betting event. But you’re not supposed to see it named on prediction markets like Kalshi.
The NCAA hasn’t given Kalshi permission to use its federally registered trademark “March Madness.” Kalshi can use something generic like “basketball tournament” instead.
In some instances, Kalshi uses the phrase “March Madness” on its platform despite trademark restrictions.
Thumbing Its Nose at the NCAA?
Kalshi’s March Madness move follows a December statement from NCAA President Charlie Baker that indicated prediction markets don’t align with the NCAA’s values.
“The NCAA vehemently opposes college sports prediction markets,” Baker said. He called these platforms an “unregulated marketplace that does not follow any rules of legitimate sports betting operators.”
The NCAA has been particularly concerned with player prop bets, whether from regulated or unregulated betting platforms.
Kalshi has been building legitimacy in recent months through partnerships with CNN and the National Hockey League, as well as an investment from NBA star Giannis Antetokounmpo.
Why Does Kalshi’s ‘March Madness’ Usage Matter?
Official trademarks can make a potentially harmful sports gambling product appear safer than it is. Prediction markets like Kalshi have claimed that their “trading” product isn’t gambling. The product has addiction risks.
Kalshi facilitates stock-market-style sports betting, which many states say is illegal.
Using “March Madness” may give users the impression that the NCAA endorses Kalshi. March is also Problem Gambling Awareness Month.
Kalshi allows users as young as 18, making it possible for college-aged individuals to bet on the platform in lieu of traditional betting apps such as DraftKings Sportsbook or FanDuel Sportsbook.
Most states set the legal sports betting age at 21, making most college students underage for gambling. Alarmingly, NCAA student-athletes report high levels of abuse from bettors, some of which are fellow students.
What Can the NCAA Do?
The NCAA has requested that Kalshi stop using “March Madness.” Following the publication of this article, Kalshi reportedly began to remove the mentions.
The Commodity Futures Trading Commission oversees prediction markets, but it’s unclear if it would address a trademark dispute involving sports event contracts.
Kalshi has backed down from controversial choices before. It may remove mentions of “March Madness.”
Using “March Madness” likely won’t help Kalshi in state legal battles.
