Updated May 2026
Prediction Markets: US Legal Status by State
Prediction markets are regulated federally by the CFTC, but several states are actively challenging their legality.
Here is an interactive map on the legal status of predictions — hover over any state for details.
Contested
—
active legal disputes
Restricted
—
court orders / blocks
Available — CFTC regulated
Contested — active legal challenge
Restricted — court orders in effect
- Massachusetts — injunction blocks sports contracts
- Nevada — court restraining order; Ninth Circuit appeal pending
- Arizona — criminal charges vs. Kalshi; CFTC sued state, won federal TRO
- California — sports ban conflict; DFAL takes effect July 1, 2026
- Connecticut — CFTC counter-sued state (April 2026)
- Illinois — CFTC counter-sued state (April 2026)
- Maryland — court upheld state gaming authority over sports contracts
- Michigan — Michigan AG sued Kalshi; Coinbase + Polymarket counter-sued
- Minnesota — legislature passed ban bill May 13, 2026; awaiting governor signature
- New York — CFTC filed suit; ORACLE Act pending; Kalshi class action filed
- Ohio — lower court ruled against CFTC; CFTC filed Sixth Circuit amicus (May 12)
- Tennessee — pending state enforcement action
- Utah — Kalshi preemptively sued state to block enforcement
- Washington — Robinhood filed preemptive suit ahead of anticipated enforcement
- Wisconsin — AG filed 3 lawsuits (April 2026); CFTC counter-sued state
- 3rd Circuit — ruled for Kalshi (April 7); CFTC preemption applies to sports contracts
- 9th Circuit — heard Nevada appeal April 16; panel leaned toward Nevada; decision pending
- CFTC — sued AZ, CT, IL, NY, WI; won TRO in AZ; filed amicus in 6th Circuit (Ohio)
- Congress — Senate hearing on prediction markets scheduled May 20, 2026
Status reflects sports-related event contract availability on CFTC-licensed platforms. Non-sports markets may be available in contested states. Legal landscape is rapidly evolving — check platform availability pages for real-time access. For informational purposes only — not legal advice.
Prediction market platforms like the ones on this page let you bet on real-world events including politics, economics and sports with real liquidity. Prediction Insiders uses an algorithm to identify the most consistently profitable players on predictions platforms and delivers their plays directly to you in real time, with exact contract sizing and 1-click execution. Check out Prediction Insiders in the link below!
Where are Prediction Markets Legal?
Prediction markets are legal in all 50 states plus Washington, DC, though some states are blocking particular contracts or prediction market platforms, while others have ongoing lawsuits. The CFTC regulates prediction markets as financial exchanges, so they're legal at the federal level. Note that this is a fluid situation, so it's worth it to follow the legal prediction markets timeline.
Prediction markets are an exciting way to trade on real-world outcomes, but it's important to stay in control of how you engage. Our Responsible Trading guide covers everything you need to trade safely – from setting deposit limits and taking trading breaks to recognizing warning signs and using self-exclusion tools when needed. If you or someone you know needs support, the National Problem Gambling Helpline is available 24/7 at 1-800-522-4700. Trade responsibly.
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