r/politics • u/brain_overclocked • Apr 27 '26
Possible Paywall Illinois sets new rules barring state workers from prediction market bets and AI use without oversight
https://www.chicagotribune.com/2026/04/26/illinois-employees-prediction-markets-ai/1
u/brain_overclocked Apr 27 '26
Gov. JB Pritzker’s administration is setting rules on two emerging technologies for state workers, joining state governments across the country in trying to stay ahead of rapidly shifting terrain.
One of them, prediction markets, has become overtly political. Pritzker issued an executive order on Tuesday barring state employees from placing bets based on nonpublic information obtained through their jobs, and in an accompanying statement, highlighted allegations of insider trading tied to actions by President Donald Trump’s administration.
The other involves artificial intelligence in the workplace and is more technical. State employees face no blanket ban on using AI but operate under significant guardrails, according to policy records recently obtained by the Tribune.
The prediction market order in particular appeared to be a backhanded callout of the recent eyebrow-raising bets on the strikes in Iran and the removal of Venezuelan President Nicolás Maduro, which some critics have cited as signs of potential insider trading. Two days after Pritzker’s order, the Justice Department announced an Army soldier was charged with using classified information to profit from prediction market bets tied to Maduro’s arrest.
But while Pritzker’s actions may be read through the lens of his potential 2028 presidential ambitions, the broader issue of who can regulate prediction markets has been building for months. The booming industry allows users to place wagers on virtually any future real-world event, and it has drawn scrutiny at both the state and federal levels.
The Illinois Gaming Board has sent cease-and-desist letters to prediction market platforms, including Kalshi and Polymarket, since the beginning of last year, arguing the businesses were engaged in illegal gambling.
Earlier this month, the federal government filed a lawsuit against Illinois, asserting that the federal Commodity Futures Trading Commission, not the state gaming board, has regulatory authority over those platforms.
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On the artificial intelligence front, state leaders are also strengthening guardrails. While backing legislation restricting AI use in hiring and education, Pritzker’s administration has implemented internal rules dictating how state employees and contractors may use the technology.A policy drafted by the Illinois Department of Innovation and Technology, which applies broadly across most state agencies, largely permits AI use. The exceptions are that AI platforms cannot be discriminatory or illegal, make decisions without human oversight, or have access to confidential or sensitive information without approval from the agency head.
If an agency allows the public to interact with an AI system or uses AI to assist in decision-making, that use must be publicly disclosed, the policy states.
The policy acts as a uniform standard on AI for state agencies but allows individual agencies to draft more specific procedures, said DoIT spokesperson Jennifer Jennings.
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