Experts warn committee about AI‑generated political media and predictive betting markets

The committee’s technology panel heard several expert witnesses on two distinct areas: synthetic media (AI/deepfakes) in political communications and new prediction or betting markets that allow people to wager on election outcomes.

Attorney Andrew Kates reviewed Texas’ 2019 deepfake statute and described several limitations: it covers video only, applies only within the last 30 days before an election, requires dual intent elements that are difficult to prove, and provides criminal penalties without a civil enforcement pathway. He recommended broadening coverage to include audio and images, adding disclosure or watermark requirements, expanding the look‑back period (90–120 days), and tying enforcement to civil remedies subject to the state’s anti‑SLAPP (TCPA) protections.

Common Cause and other witnesses backed disclosure and metadata requirements that platform operators could read to mark synthetic content. They said a consistent disclaimer or embedded provenance metadata would help platforms, moderators and voters identify altered material.

On prediction markets, Kates and others warned that large wagers could signal inside knowledge or shift perceived probabilities in thin markets, potentially influencing down‑ballot races or encouraging insider trading‑style behavior. He said existing state prohibitions on inducements to vote and fraud should be examined in light of new platforms and suggested the legislature consider whether prediction markets should be regulated under gambling or securities law when wagers affect public trust.

Where testimony left off: witnesses offered several legislative options (disclaimer mandates, broadened definitions, civil enforcement, metadata standards) and noted federal guidance and an executive order on AI create additional complexity for state action.