"The media storm hit on July 28, 2003, when two senators (falsely) complained that we were planning to let people bet on individual terrorist attacks. The next morning the secretary of defense announced that FutureMAP was cancelled. In the intervening day, no one from Congress asked us if the accusations were correct, or if the more offending aspects could be cut from the project. DARPA said nothing. The next day, John Poindexter resigned, and two months later all IAO research was cancelled."
"The media storm hit on July 28, 2003, when two senators (falsely) complained that we were planning to let people bet on individual terrorist attacks. The next morning the secretary of defense announced that FutureMAP was cancelled. In the intervening day, no one from Congress asked us if the accusations were correct, or if the more offending aspects could be cut from the project. DARPA said nothing. The next day, John Poindexter resigned, and two months later all IAO research was cancelled."
https://mason.gmu.edu/~rhanson/policyanalysismarket.html
Another fun story of Congress and prediction markets: https://nymag.com/movies/theindustry/67275/