MLB Commissioner Rob Manfred revealed Thursday that the league is considering partnerships with prediction markets Polymarket and Kalshi, marking a significant shift in how baseball monitors betting activity. The proposal comes as two Cleveland Guardians pitchers face federal charges for an alleged pitch-rigging scheme.

Manfred briefed owners during quarterly meetings about the regulatory differences between sports betting and prediction markets. While states oversee traditional sports gambling, prediction markets operate under federal Commodity Futures Trading Commission oversight. The NHL and UFC currently partner with these platforms, giving them access to data that could help MLB detect irregular betting patterns.

The timing is particularly sensitive given recent events. MLB's existing sports gambling partnerships helped identify suspicious betting activity that led to the arrests of Guardians closer Emmanuel Clase and starter Luis Ortiz. New York Attorney General Letitia James recently issued a consumer alert warning about prediction markets as "unregulated gambling" that could violate state laws.