ADI Predictstreet partners Kalshi to grow sports prediction markets — ADI Predictstreet, built on ADI Chain, partners with Kalshi in a strategic branding and product deal ahead of the 2026 World Cup knockout stage. Kalshi will be co-branded alongside ADI Predictstreet in stadium, TV, and online placements, and will provide market expansion across international markets. The two brands will develop a co-branded World Cup hub with global football prediction markets, tournament updates, and exclusive content.
Plus500 adds CFTC-regulated sports event-based contracts from Kalshi to its US futures platform — Plus500 now offers Kalshi's sports event-based contracts covering NFL, NBA, MLB, and more through its Plus500 Futures platform, following its February 2026 launch of prediction market contracts on economic, financial, and geopolitical events. The company previously served as clearing partner for CME Group and FanDuel's joint event-contracts platform. Plus500 posted $242.1 million in Q1 2026 revenue, up 18% year-on-year, and raised full-year guidance; the World Cup winner market on Polymarket has already attracted over $3 billion in trading volume.
Japanese prediction market startups Miraima and Poyp use loyalty points to bypass the country's gambling ban — Miraima and Poyp, two homegrown Japanese prediction market platforms, are leveraging Japan's loyalty-point culture to offer prediction markets without using real-money gambling, which is banned in the country. The approach allows users to trade on outcomes using points rather than cash, creating an alternative to platforms like Polymarket that face regulatory hurdles in Japan.
Hong Kong is considering a ban on prediction markets but legal experts say enforcement will be difficult — Hong Kong authorities are weighing a ban on prediction markets, which currently operate in a legal grey area under local gambling laws. Lawyers and a legislator warn that enforcement would be challenging because the platforms are based overseas and transactions occur online. Polymarket recorded $1.1 billion in trades over the past week and Kalshi saw $2.83 billion, according to DeFiLlama.
A Michigan federal judge remands a state gambling lawsuit against Kalshi to state court. — A Michigan federal judge ruled against Kalshi's attempt to keep a lawsuit filed by Michigan's attorney general in federal court, remanding the case to state court. The suit alleges Kalshi is violating state gambling laws through its prediction market platform. The decision forces Kalshi to defend itself in Michigan state court rather than federal jurisdiction.
Kalshi grants Donald Trump Jr. about $300,000 in shares for a senior adviser role, stake diluted by later fundraising — Kalshi granted Donald Trump Jr. approximately $300,000 worth of shares in early 2025 for advising the company, when it was valued at under $2 billion, according to the Financial Times. His stake has since been diluted as Kalshi raised money at valuations up to $22 billion, and later investors often receive preferred shares with priority claims in a sale or IPO.
Tradeweb integrates Kalshi's prediction market data into its institutional trading platform. — Tradeweb Markets, a minority investor in Kalshi, launched a dedicated prediction market data suite giving institutional clients real-time event probabilities from Kalshi alongside traditional fixed-income, credit, and equity data. The integration is the first operational phase of a partnership announced earlier this year, with plans to develop analytics combining event probabilities with pricing, liquidity, and macroeconomic data. Andy Ross, Kalshi's Head of Institutional, said the move allows investors to trade on real events rather than proxies.
The MLBPA is seeking a ban on player prop-style prediction markets — The Major League Baseball Players Association has reportedly called for a prohibition on prediction market contracts tied to individual player performance, known as player prop-style markets. The union's stance reflects growing concern over how event contracts on platforms like Polymarket and Kalshi could expose players to new forms of gambling-related risk and privacy issues. No formal legislative or regulatory action has been announced yet.
Polymarket faces bipartisan Senate probe over fake influencer ad campaign — Senators John Curtis and Adam Schiff urge the CFTC to investigate Polymarket after a Wall Street Journal investigation reveals a coordinated influencer campaign promoting fabricated trade wins. The WSJ identifies 118 paid ads showing cumulative wins of nearly $900,000 that would have produced losses exceeding $166,000 on the real platform, with influencers paid up to $3,000 per month and instructed not to disclose payments.
Polysights raises $1.5 million to build AI-native infrastructure for prediction market traders — Polysights closed a $1.5 million seed round led by YZI Labs' S3 fund, with participation from Maven 11 Capital, Varys Capital, Contribution Capital, Edge Ventures, and other strategic backers. The startup is developing AI-native tooling that sits between raw market data and trading execution, targeting both retail traders and institutional users such as funds.
Kalshi is operating prediction markets on tribal land in Oklahoma without state gambling oversight, tribal leaders say — Prediction markets like Kalshi are legally trading on tribal land in Oklahoma with zero gambling oversight, according to state regulators and tribal leaders. Thomas McDonald, senior director of Choctaw Casinos and Resorts, described the situation as 'an absolute mess.' Legal battles continue over whether event contracts constitute gambling, while Oklahoma's sports betting debate remains unresolved.
Polymarket users lose $3 million after a frontend hack compromised a third-party vendor — A suspected phishing attack targeting one of Polymarket's third-party vendors allowed hackers to inject a malicious script into the platform's frontend for some users, resulting in approximately $3 million in crypto stolen from 11 victim wallets holding Polymarket's stablecoin PUSD. The attackers swapped the stolen assets for ETH and consolidated them into a single address. Polymarket stated it has contained the issue, removed the affected dependency, and will fully refund affected users, following a separate incident last month where an exploited private key cost the company $700,000.
The CFTC proposes new data reporting rules for fully collateralized event contracts, replacing the no-action letter regime. — The CFTC published a Notice of Proposed Rulemaking seeking comment on amendments to Parts 15-17 of its regulations, creating an alternate reporting framework for fully collateralized event contracts that have operated under staff no-action letters since 2017. Chairman Michael S. Selig said the proposal aims to replace the 'patchwork of no-action letters' with clear, workable regulations, requiring certain reporting markets and intermediaries to report event contracts under Parts 15-18 rather than existing sections of Parts 38, 39, 43, and 45.
Novig hires a former Kalshi and CFTC attorney to lead legal affairs. — Novig has bolstered its legal team by hiring an attorney who previously served as general counsel at Kalshi and held a senior role at the CFTC. The hire signals Novig's focus on regulatory compliance as it scales its prediction market platform.
Kalshi seeks $40 billion valuation in new funding round, nearly doubling from May — Kalshi is seeking to raise fresh capital at a valuation of about $40 billion, nearly doubling the $22 billion valuation from its previous funding round in May 2026, according to a Financial Times report. The fundraising could close as soon as the third quarter of 2026 and would widen Kalshi's lead over rival Polymarket, which is seeking funding at a $15 billion valuation. Kalshi is also weighing an eventual initial public offering, which its chief executive said would not occur before 2027.
Polymarket launches a TON-native decentralized application on Telegram allowing users to trade prediction markets with USDT — Polymarket has launched a TON-native dApp on Telegram, enabling users to access and trade prediction markets directly within the messaging app using USDT on The Open Network (TON). The integration was built with cross-chain infrastructure from Omniston and developed in partnership with Top and GetGems, two TON ecosystem builders. Polymarket's first-generation exchange processed over $61 billion in cumulative trading volume between 2022 and early 2026, according to academic research published this year.
A federal court in Kentucky is hearing a case involving commodity futures and prediction markets. — The case in the Eastern District of Kentucky addresses the classification of certain event contracts as commodity futures, which could set a precedent for how prediction market products are regulated under federal commodities law. The outcome may affect whether platforms like Kalshi and Polymarket must register as futures exchanges or can operate under different regulatory frameworks.
Sports-based prediction markets app Onyx Odds raises $20 million in a round led by Kraken parent Payward — Onyx Odds, a sports-based prediction markets app, raised $20 million in a funding round led by Payward, the parent company of cryptocurrency exchange Kraken. The investment signals continued institutional interest in prediction markets as a distinct asset class. Onyx Odds focuses on sports event contracts, competing directly with platforms like Kalshi and Polymarket.
Kalshi sues Illinois over a new state tax on sports-related prediction markets — Kalshi filed a lawsuit against Illinois challenging a new state tax specifically targeting sports-related prediction market contracts. The suit argues that the tax infringes on federal regulatory authority over event contracts, continuing Kalshi's pattern of litigating against state-level restrictions. The Illinois law imposes a tax on sports-related prediction market transactions, which Kalshi contends is preempted by CFTC jurisdiction.
A federal judge consolidates two proposed class action lawsuits against Polymarket into a single case — A federal judge ruled that two proposed class action lawsuits against Polymarket should proceed as a single consolidated case. The lawsuits allege that Polymarket operates as an unlicensed online sportsbook while marketing itself as a legal way to bet on sports nationwide. The consolidation streamlines the litigation process as the court considers whether Polymarket's activities violate federal and state gambling laws.
New York Governor Kathy Hochul signs an executive order banning state employees from using nonpublic information to bet on prediction markets — Governor Kathy Hochul signed an executive order prohibiting New York state employees from using nonpublic information obtained through their jobs to place bets on prediction markets like Kalshi and Polymarket. The order cites the New York State Code of Ethics, barring employees from engaging in any activity in substantial conflict with their public duties. A Kalshi spokesperson said the order makes sense and noted that insider trading already violates Kalshi's rules. Separately, New York Attorney General Letitia James filed a lawsuit against Coinbase and Gemini seeking to bar their platforms from operating in the state unless they obtain licenses from the state Gaming Commission.
Meta is building a standalone prediction market app called Arena that will use a points system instead of real money — Meta Platforms, under CEO Mark Zuckerberg's direct leadership, is developing Arena, a standalone prediction market app that will initially operate with a video-game-style points system rather than real-money wagering. The app will be independent from Facebook, Instagram, WhatsApp, and Messenger, and no launch date or monetization strategy has been announced. Meta's family of apps reaches over 3.56 billion users globally, dwarfing Polymarket's user base, and stocks of prediction market companies reportedly declined after the news surfaced.
Polymarket airs its first major TV commercial during a FIFA World Cup hydration break on Fox featuring Rick Rubin — Polymarket debuted a TV ad during a FIFA World Cup hydration break on Fox on June 15, 2026, featuring music producer Rick Rubin with the tagline 'If you could ask one question, what would you ask?' The platform's World Cup tournament winner market has surpassed $2 billion in lifetime trading volume as of mid-June, with over 400 active World Cup markets and a single-day volume of $137 million in mid-June. Polymarket also signed multi-year partnerships with MLS and Leagues Cup in January 2026 and with Liga MX in June 2026, while a trader known as FlickRaw lost $4.2 million across two World Cup positions in under 24 hours.
Kalshi adds India to its list of 55 restricted jurisdictions — Kalshi updated its members' agreement to add India to a list of 55 jurisdictions whose residents are blocked from the platform. India's Ministry of Electronics and Information Technology had warned VPN providers in April to stop facilitating access to illegal online betting and prediction market platforms. The move follows similar actions by Spain, Indonesia, Singapore, Poland, Portugal, Hungary, Ukraine, and Brazil, and comes as Kalshi and Polymarket face growing global regulatory pressure, including a Kentucky lawsuit accusing them of operating unlicensed sports betting.
Polymarket becomes the exclusive U.S. prediction market partner of Bundesliga — Polymarket announced on June 23 that it is the exclusive prediction market partner of Bundesliga in the U.S., with official event contracts for the league and its clubs now live on the platform. The deal adds to a growing list of sports partnerships including LALIGA, Serie A, Liga MX, and a multi-year agreement with TKO Group Holdings covering UFC and Zuffa Boxing. Polymarket has also integrated its markets into Yahoo Finance, Betr Super App, and Splash Sports.
TurboFlow raises $6 million in seed funding led by Pantera Capital to become the Kalshi of Asia-Pacific. — TurboFlow, a Hong Kong-based onchain platform offering prediction markets and perpetual futures, closed a $6 million seed round led by Pantera Capital with participation from Susquehanna Crypto and Digital Currency Group. The round was structured as a SAFE with token warrants; founder Tony He declined to disclose valuation. The platform aims to serve Asian users with localized products, filling a gap left by Western-focused platforms like Kalshi and Polymarket, and is evaluating compliance paths market-by-market across APAC.
Gaming groups lobby the Senate to include a ban on sports betting via Polymarket and Kalshi in the CLARITY Act — Gaming industry groups are pushing senators to add language to the CLARITY Act that would explicitly prohibit sports betting on prediction market platforms like Polymarket and Kalshi. The lobbying effort comes as the Senate aims to advance the crypto bill before the July 4 recess, and represents a potential setback for prediction market operators seeking to offer sports-related event contracts.
Kalshi adds a commodity hub on April 16, 2026, offering binary yes/no contracts on agricultural price outcomes. — Kalshi, a federally regulated financial exchange in the United States, launched a commodity hub on April 16, 2026, allowing participants to trade on price outcomes of agricultural contracts using simple binary yes/no structures. This creates a new asset class distinct from traditional futures, but the American Farm Bureau Federation raised concerns about the lack of key stakeholder input into the listing of these contracts, questioning whether they assist in risk management or serve an alternative goal.
Polymarket is being sued over deceptive social media ads featuring fake trades and fabricated winnings — A Wall Street Journal investigation found that Polymarket paid college-age social media creators to post over 1,100 videos between December 2025 and mid-May 2026, with roughly 70% of the videos showing bets placed on dummy websites built by Polymarket for filming rather than the actual platform. The fake winnings showcased totaled nearly $1.9 million, including about $900,000 in staged trades that would have resulted in losses exceeding $166,000 if executed on the real platform. Polymarket instructed creators not to disclose they were being paid, potentially violating FTC disclosure requirements, and the company has since launched an internal audit of its marketing practices.
Polymarket partners with GRID to integrate esports data and streaming into its trading platform — Polymarket has formed a partnership with GRID, an esports data and streaming platform, to bring real-time esports data and live streaming directly into Polymarket's trading interface. The integration aims to enhance the user experience for esports betting and prediction markets by providing live data feeds and video content alongside trading.
Federal courts in Michigan and Utah will hold hearings this week on preliminary injunction motions in prediction market cases involving Coinbase, Kalshi, and state regulators. — On June 24, a Michigan federal judge will hear Coinbase's motion for a preliminary injunction against state officials, following recent denials of similar requests from Polymarket and Robinhood in the same district. The next day, the court will consider Michigan's motion to remand its lawsuit against Kalshi back to state court, while a Utah federal court will hear Kalshi's motion for a preliminary injunction against state enforcement. Filing deadlines also loom in the CFTC's lawsuit against Connecticut, the Ho-Chunk Nation v. Kalshi case, and the Sixth Circuit appeal involving Kalshi and Ohio.
The CFTC is suing Kentucky over its enforcement actions against Kalshi and Polymarket — Kentucky Attorney General Russell Coleman filed lawsuits against Kalshi, Polymarket, and sweepstakes casino VGW, alleging they are operating illegal gambling networks. Coleman claims the prediction markets' sports trading violates Kentucky's sports betting law, which requires a license from the Kentucky Horse Racing and Gaming Commission. The lawsuits seek court injunctions to halt sports event contracts and demand actual and punitive damages for consumers who lost money. Kalshi and Polymarket deny wrongdoing, arguing their businesses are lawful. Kentucky passed a law earlier this year preventing horse racing associations from partnering with these platforms, effective July 15, 2026.
Polymarket pays creators to post misleading videos about getting rich on the platform, investigation finds — An investigation found that Polymarket paid influencers over $350,000 to post videos that falsely portrayed users getting rich on the platform, without disclosing the payments. The misleading content was designed to drive new users to the site. The investigation did not specify whether the CFTC or other regulators are looking into the practice.
Synth introduces 1-hour and 15-minute markets on Polymarket, using a predictive engine to enhance trading predictions. — Synth launched new Polymarket features including 1-hour and 15-minute markets, announced via a widely shared post from @SynthdataCo. The shorter-term markets leverage Synth's predictive engine and aim to attract traders seeking more precise trading opportunities. The broader crypto market is showing mixed signals, and Synth's price remains steady at $0 with zero trading volume, though the new features could serve as a catalyst for increased activity.
Nine European gambling regulators pledge coordinated action against unlicensed prediction markets during the World Cup, warning sports bodies just as Kalshi signs Argentina's football federation and features Lionel Messi. — Regulators from Belgium, France, Germany, Italy, the Netherlands, Poland, Portugal, Spain, and Switzerland declared on June 17 that they will cooperate closely against prediction market platforms that fail to meet local licensing rules during the World Cup. The statement cites concerns about round-the-clock access, no built-in stake or time limits, and weak age and identity checks. The timing coincides with Kalshi becoming an official World Cup sponsor of the Argentine Football Association on June 10 and activating the deal with a paid post on Lionel Messi's Instagram account. Spain's gambling regulator ordered internet providers on May 26 to block both Kalshi and Polymarket while investigating whether their products constitute unlicensed gambling.
The CFTC expands its Illinois lawsuit to target a new prediction market tax — The Commodity Futures Trading Commission broadened its existing lawsuit in Illinois to challenge a novel tax structure used by prediction market platforms. The agency alleges the tax is designed to circumvent federal regulations on event contracts. The expanded complaint seeks to block the platforms from using the tax to offer contracts the CFTC deems illegal.
Bitbank warns it will freeze accounts linked to Polymarket and other prediction market services. — Bitbank, a major Japanese cryptocurrency exchange, stated it may suspend accounts if deposits or withdrawals are associated with prediction market platforms like Polymarket. The exchange cited Japanese gambling-related regulations, noting that even services operated abroad may subject Japanese users to local law. Frozen accounts lose access to trading, withdrawals, deposits, and login.
Kalshi is in early IPO talks with investment banks at a $22 billion valuation — Kalshi has held preliminary discussions with investment banks about a potential initial public offering, according to The Information. The platform's annualized revenue has surpassed $2 billion, up from $1 billion in March, following a $1 billion Series F round in May led by Coatue with participation from Sequoia Capital, Andreessen Horowitz, IVP, Paradigm, Morgan Stanley, and ARK Invest. Kalshi's monthly trading volume reached $16.81 billion in May, compared to Polymarket's $7.08 billion.
Charles Schwab partners with Cboe Global Markets to launch S&P 500 prediction contracts — Charles Schwab announced a partnership with Cboe Global Markets to introduce S&P 500-based prediction contracts, entering direct competition with Kalshi, Polymarket, Coinbase, and Robinhood. The contracts will function like binary options, allowing traders to make yes-or-no predictions on whether the S&P 500 will finish above or below a certain level. Schwab is also exploring a 'Plus Zone' model with Cboe that would offer partial payouts for near-miss predictions, reducing all-or-nothing risk. Unlike rivals, Schwab will focus exclusively on financial events with objectively measurable outcomes, avoiding political or sports markets to sidestep regulatory challenges.
Kalshi begins informal talks with investment banks about a potential IPO as its annualized revenue topped $2 billion, roughly three times its November 2025 level. — Kalshi has reportedly begun informal discussions with investment banks about a potential initial public offering, with annualized revenue exceeding $2 billion, approximately three times its November 2025 level. The IPO chatter signals potential fundraising and broader adoption for crypto-linked prediction markets, and could be positive for market sentiment across DeFi, DEX/CEX products and token-related services if a listing proceeds. No specific valuation or lead underwriters were named in the report.
The Chicago Mercantile Exchange sues the CFTC over its approval of Kalshi's perpetual futures contracts, arguing the decision circumvents regulations and gives Kalshi favorable tax treatment. — The Chicago Mercantile Exchange filed a 42-page lawsuit in the U.S. District Court for the District of Columbia arguing that the CFTC's May 29, 2026 order allowing Kalshi to list perpetual futures contracts violates the Commodity Exchange Act. The CME claims the order was issued without public comment or reasoned decision-making and enables Kalshi to circumvent strict regulatory requirements set by Congress after the 2008 financial crisis. The lawsuit also alleges that Kalshi has made $1 billion from the contracts under different regulation and favorable tax treatment.
Congresswoman Maggie Goodlander introduces a bipartisan bill to ban senior officials from betting on prediction markets — The Public Service Accountability Act, introduced by Congresswoman Maggie Goodlander (D-NH) and Congressman Brian Fitzpatrick (R-PA), would prohibit senior officials across all three branches of the US government from trading individual stocks or betting on prediction markets during their federal service. Goodlander cited loopholes, toothless penalties, and weak enforcement as enabling officials to personally profit from their positions of public trust.
Rep. Bryan Steil introduces legislation to ban lawmakers from betting on prediction markets like Polymarket and Kalshi — The bill, attached to H.R. 7008 (the Stop Insider Trading Act), targets political contracts on platforms such as Polymarket and Kalshi, following the Senate's S. Res. 708 passed in April 2026. The House Oversight Committee launched a probe in May 2026 into suspicious trades tied to election events, focusing on whether individuals with nonpublic knowledge used prediction markets to profit. Kalshi, a CFTC-regulated exchange, holds roughly 89% of the US prediction market share as of April 2026, while Polymarket operates in crypto's regulatory gray zone with stablecoin settlement.
Nine European countries coordinate a crackdown on prediction markets during the FIFA World Cup. — Spain, France, Germany, Italy, Portugal, Belgium, the Netherlands, Poland, and Switzerland signed a collective agreement to monitor and prevent prediction market activity within their jurisdictions during the World Cup. Belgium banned prediction markets in early 2025, Germany followed later that year, France became hostile at the start of 2026, and Spain recently took legal action against Kalshi and Polymarket. The agreement commits the nine nations to sharing knowledge and information on how platforms target their populations.
Polymarket faces a $120 million dispute over whether a US-Iran memorandum of understanding qualifies as a permanent peace agreement — Polymarket's $120 million contract on a US-Iran permanent peace agreement by June 15 has entered formal dispute resolution after a memorandum of understanding was announced. Yes voters argue official statements from President Trump and Iran's Supreme National Security Council confirm an agreement, while No voters contend the document is only a 60-day ceasefire that leaves nuclear and sanctions issues unresolved. UMA token holders are voting on the outcome, with over 99% of early votes favoring Yes, though Trump later suggested the deal is not definitive.
The Cayuga Nation sues Caesars Sportsbook in federal court, citing the Ho-Chunk v. Kalshi ruling in its complaint. — The Cayuga Nation filed a lawsuit against Caesars Sportsbook in the U.S. District Court for the Northern District of New York on June 16, alleging the operator accepted mobile sports wagers from users on the tribe's 64,015-acre reservation between January 2022 and July 2025 without a tribal-state compact as required by the Indian Gaming Regulatory Act. The complaint invokes arguments from the recent Ho-Chunk Nation v. Kalshi ruling in Wisconsin, which allowed a tribal challenge to prediction markets to proceed. The tribe seeks declaratory relief, damages, disgorgement of profits, and an accounting of all revenue from the alleged unauthorized gaming activity.
Wealthsimple will offer prediction market trading to Canadian retail investors through a partnership with Kalshi — Wealthsimple announced it will launch a beta version and a new app called Wealthsimple Predict this summer, giving its four million Canadian customers access to prediction market trading on Kalshi across 4,000 events tied to economic, financial and climate matters. Wealthsimple has $125 billion in assets under administration and sees prediction markets as one of the fastest growing financial markets globally. Interactive Brokers was previously the only company legally offering Canadian customers access to prediction markets through ForecastEx.
Kalshi partners with Wealthsimple to launch prediction markets in Canada — Kalshi is bringing prediction markets to Canada through a partnership with Wealthsimple, the country's largest investment platform. The move expands Kalshi's reach beyond the US market and gives Canadian users access to event contracts on sports and other outcomes via Wealthsimple's app.
Polymarket partners with Splash Sports to launch the world's largest pro football survivor contest with $21 million in guaranteed prizes — Polymarket and Splash Sports announced a strategic partnership to launch a pro football survivor contest featuring a record $21 million in guaranteed prizes, positioning it as the world's largest such contest. The deal brings prediction market mechanics to a skill-based social sports gaming platform, expanding Polymarket's reach into mainstream sports betting audiences. The contest is designed to attract casual sports fans and drive user acquisition for both platforms.
Polymarket and Robinhood were denied a shield from Michigan regulators — A Michigan court ruled against Polymarket and Robinhood, rejecting their attempt to block state regulators from taking enforcement action. The decision means the companies remain subject to Michigan's regulatory oversight over their event contracts and prediction market offerings.
A federal judge in Michigan denies Polymarket's request for a preliminary injunction in a lawsuit over sports prediction markets — The U.S. District Court for the Western District of Michigan ruled that sports-related crypto prediction market bets fall outside CFTC oversight, and denied Polymarket's bid for a preliminary injunction, finding it unlikely to succeed in the main lawsuit. The decision exposes Polymarket and similar DeFi platforms to state-level enforcement, creating regulatory fragmentation and legal uncertainty.
Kentucky attorney general sues Kalshi, Polymarket and Coinbase for operating unlicensed gambling — Kentucky Attorney General Russell Coleman filed three lawsuits in Franklin Circuit Court against Kalshi, Polymarket, Coinbase and sweepstakes platform VGW, alleging they operate illegal and unlicensed sports betting and gambling businesses in the state. The suits claim Kalshi and Polymarket offer sports wagers without Kentucky licenses or required consumer protections, and that users are given few or no resources to identify or seek help for gambling problems as mandated by state law. The complaints also allege violations of Kentucky's Consumer Protection Act and the Loss Recovery Act.
New jersey introduces a bill to regulate and tax prediction markets — New jersey lawmakers have introduced legislation to create a state regulatory and tax framework for prediction markets. The bill would establish rules for operating prediction market platforms within the state and impose taxes on their activities.
Polymarket resolves a contract against 1,838 traders who lost $3.8 million when Strategy's Bitcoin sale came one day after the deadline — A Polymarket contract asking whether Strategy (formerly MicroStrategy) would sell Bitcoin by May 31, 2026, resolved to zero for the 'yes' side after Strategy announced a Bitcoin sale on June 1, one day past the deadline. Hunter Guo, a 20-year-old King's College London student, lost approximately $35,000. In total, 1,838 accounts lost $3.8 million in aggregate 'yes' positions. The resolution was handled through Polymarket's decentralized oracle system, with no recourse for traders who were directionally correct but temporally wrong.
US gaming industry groups and tribal operators are urging Congress to amend the CLARITY Act to ban prediction markets from offering sports bets without state gaming licenses — The American Gaming Association, Indian Gaming Association, and labor unions including the AFL-CIO's Hotel and Gaming Trades Council sent a letter to Congress asking to revise the CLARITY Act to prohibit crypto-friendly prediction markets from offering sports wagering without state-issued gaming licenses. The groups argue that prediction markets have fueled 'the largest expansion of gambling in U.S. history' without voter approval. The letter comes amid ongoing litigation, including a Michigan federal court ruling that denied Polymarket's bid for a temporary restraining order against the state attorney general.