Partner and Financial Markets and Regulation Co-Chair Carl Kennedy and Transactional Tax Planning Partner Loren Lembo spoke with Bloomberg and other media outlets about the uncertain tax treatment facing Americans who trade on prediction markets to "bet" on the World Cup, an open question that could give those traders a lighter tax burden than peers using traditional sportsbooks. While the overall framework governing taxation of gambling is well established, the rise of prediction market trading has injected fresh uncertainty into how such trades are taxed. The crux of the issue is whether payouts from these transactions are considered gambling income, like amounts received through sportsbooks and betting apps, or proceeds from derivatives and other financial instruments.