{"id":76694,"date":"2026-04-29T08:58:30","date_gmt":"2026-04-29T01:58:30","guid":{"rendered":"https:\/\/hbbgroup.net\/cftc-backs-prediction-markets-in-yet-another-lawsuit-against-a-state\/"},"modified":"2026-04-29T08:58:30","modified_gmt":"2026-04-29T01:58:30","slug":"cftc-backs-prediction-markets-in-yet-another-lawsuit-against-a-state","status":"publish","type":"post","link":"https:\/\/hbbgroup.net\/vi\/cftc-backs-prediction-markets-in-yet-another-lawsuit-against-a-state\/","title":{"rendered":"CFTC Backs Prediction Markets in Yet Another Lawsuit Against a State"},"content":{"rendered":"<div>\n<div>\n<h4 color=\"#333\">In brief<\/h4>\n<ul>\n<li>The CFTC sued Wisconsin after the state moved against prediction market platforms.<\/li>\n<li>Wisconsin targeted Polymarket, Kalshi, Coinbase, Robinhood, and Crypto.com on Friday.<\/li>\n<li>The state argued those platforms&#8217; sports-related markets constitute unlicensed sports bets.<\/li>\n<\/ul>\n<\/div>\n<p><span>The CFTC on Tuesday filed a lawsuit against the state of Wisconsin over the state\u2019s own lawsuit against top prediction market platforms, in the latest escalation of a jurisdictional standoff over the fate of the lucrative new sector.<\/span><\/p>\n<p><span>Wisconsin is the fifth state the CFTC has sued in recent weeks for attempting to regulate prediction markets via state gambling laws. Earlier this month, the federal regulator filed <\/span><a href=\"https:\/\/decrypt.co\/363171\/trump-admin-backs-prediction-markets-lawsuits-illinois-arizona-connecticut\" target=\"_blank\"><span>lawsuits<\/span><\/a><span> against Illinois, Arizona, and Connecticut. On Friday, it <\/span><a href=\"https:\/\/www.cftc.gov\/PressRoom\/PressReleases\/9218-26\" target=\"_blank\"><span>sued<\/span><\/a><span> New York, days after the state commenced legal action against crypto exchanges <\/span><a href=\"https:\/\/decrypt.co\/365048\/new-york-sues-coinbase-gemini-prediction-market-offerings\" target=\"_blank\"><span>Coinbase and Gemini<\/span><\/a><span> for their prediction market offerings.<\/span><\/p>\n<p><span>All states targeted by the CFTC thus far, including Wisconsin, feature Democratic governors and attorneys general. The CFTC is currently chaired by Donald Trump appointee Mike Selig.<\/span><\/p>\n<p>But the growing conflict between states and the Trump administration over prediction markets is by no means partisan. In the last year, numerous red states\u2014including Tennessee, Utah, and Ohio\u2014have expressed opposition to the federal government\u2019s aggressively pro-prediction market stance.<\/p>\n<p>The states, red and blue alike, contend prediction market wagers related to sports\u2014and in some cases, politics and entertainment\u2014are illegal gambling bets, lacking necessary registration with state gambling authorities. The prediction market platforms themselves have argued the wagers instead constitute event contracts exclusively under the federal purview of the CFTC. In recent months, the CFTC has full-throatedly backed the platforms\u2019 position.<\/p>\n<p><span>\u201cStates cannot circumvent the clear directive of Congress,\u201d CFTC chair Mike Selig said in a statement Tuesday. \u201cOur message to Wisconsin is the same as to New York, Arizona, and others: if you interfere with the operation of federal law in regulating financial markets, we will sue you.\u201d<\/span><\/p>\n<p><span>The speed of the CFTC\u2019s response to state-level legal action is accelerating; Wisconsin only filed lawsuits against top prediction market platforms on <\/span><a href=\"https:\/\/decrypt.co\/365446\/wisconsin-sues-prediction-markets-over-sports-betting-contracts\" target=\"_blank\"><span>Friday<\/span><\/a><span>. Those suits targeted Polymarket, Kalshi, Coinbase, Robinhood, and Crypto.com.<\/span><\/p>\n<p><span>The Wisconsin lawsuits focused on those platforms\u2019 sports-related prediction markets, which the states\u2019 attorney general argued are unregistered sports bets. Lawsuits filed by other states, however, including New York and Arizona, have been broader, targeting not just sports-related wagers but also those pertaining to elections and popular culture.<\/span><\/p>\n<div>\n<h3>Daily Debrief Newsletter<\/h3>\n<p>Start every day with the top news stories right now, plus original features, a podcast, videos and more.<\/p>\n<\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>In brief The CFTC sued Wisconsin after the state moved against prediction market platforms. Wisconsin targeted Polymarket, Kalshi, Coinbase, Robinhood, [&hellip;]<\/p>","protected":false},"author":5,"featured_media":76696,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[220],"tags":[],"class_list":["post-76694","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tien-dien-tu"],"acf":[],"_links":{"self":[{"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/posts\/76694","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/comments?post=76694"}],"version-history":[{"count":0,"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/posts\/76694\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/media\/76696"}],"wp:attachment":[{"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/media?parent=76694"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/categories?post=76694"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hbbgroup.net\/vi\/wp-json\/wp\/v2\/tags?post=76694"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}