Based on reporting by GamblingNews →
The National Council on Problem Gambling (NCPG) is navigating significant institutional turbulence in the wake of accepting a $2 million donation from prediction market platform Kalshi, with sources suggesting the organization may be actively searching for a replacement director to succeed Heather Maurer.
The controversy stems from the donation itself, which NCPG leadership defended as necessary funding to advance responsible gambling research specifically focused on prediction markets and associated harms. However, the decision triggered backlash from multiple state gaming regulators. Nevada and Michigan are among the jurisdictions that have withdrawn support, with regulators arguing that accepting money from a prediction market operator contradicts NCPG's stated mission to address gambling harm.
NCPG has maintained a consistent but contentious position: the organization will focus on understanding and addressing harm wherever it occurs, including in prediction markets, but will not involve itself in debates about the legality of these products or the regulatory conditions under which they operate. This distinction has done little to quell concerns among state-level officials who view the donation as a form of industry capture at odds with the organization's independence.
The institutional strain has become visible through staff departures. Jaime Costello, the NCPG's former director of programs, resigned and felt compelled to publicly dispel rumors linking the departure to the Kalshi donation. Additionally, Richard Schuetz, a Las Vegas casino executive serving on the organization's advisory board, was removed from his position without formal notification. Schuetz, who publicly opposes prediction markets and online gambling expansion, characterized his removal as being "fired by this group" in a statement reflecting the lack of transparency surrounding the decision.
The question of whether NCPG is deliberately removing prediction market critics from its ranks remains unresolved. Schuetz's removal and Costello's resignation, when considered alongside the director search, suggest that the organization may be recalibrating its internal composition in ways that could influence its future policy positions on prediction markets. This timing raises important questions about donor influence and institutional independence within organizations designated to protect consumers from gambling harms.
For the broader gambling industry, the NCPG situation reflects growing tensions between prediction markets and traditional gaming oversight. Multiple regulatory bodies and major platforms have taken adversarial stances toward prediction markets. Yahoo Finance severed ties with Polymarket, the CFTC has warned of manipulation risks, and states from New York to South Korea have pursued enforcement actions. The NCPG's Kalshi donation appears to have positioned the organization as a flashpoint in this larger regulatory struggle, with the director search potentially signaling an attempt to reset the organization's public positioning. How NCPG's new leadership approaches prediction market research will likely influence how other harm-reduction organizations navigate similar funding opportunities in an increasingly fragmented regulatory landscape.
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