Regulators Target Prediction Market Sports Contracts

[johnblockbuster]

Prediction markets have come under renewed scrutiny from state regulators this month, particularly over sports-related contracts. In January, the Tennessee Sports Wagering Council issued cease-and-desist letters to Kalshi, Polymarket, and Crypto.com, demanding they stop offering sports event markets in the state and refund users by the end of the month under state gambling laws.

However, legal pushback is underway: a US federal judge temporarily blocked Tennessee from preventing Kalshi from offering sports event contracts, granting a restraining order while the company’s lawsuit proceeds. This decision highlights the ongoing clash between state gambling restrictions and federally regulated derivatives markets.

[lingriiddd]

tennessee going after everyone at once is kinda wild