My understanding is Congress critters are immune from insider trading laws and their offices don't have to follow minimum wage laws. Hard to see such a law from actually affecting them.

The nuance most people miss is that prediction markets and sportsbooks serve fundamentally different functions even though they look similar to regulators. Prediction markets run as actual exchanges with order books and no vig - the platform makes money on volume. Traditional sportsbooks are the counterparty to every bet and profit from your losses. Banning event contracts to protect the sportsbook model is like banning stock exchanges to protect bucket shops.