CFTC loses Wisconsin bid to shield prediction markets

A federal judge has rejected the CFTC’s request to stop Wisconsin from enforcing state gambling laws against federally regulated prediction market platforms. Summary Judge William Griesbach denied the CFTC’s request for a preliminary injunction against Wisconsin. The court found sports event contracts may fall within Wisconsin’s commercial gambling laws. Wisconsin is pursuing cases against Kalshi, Polymarket, Crypto.com, Robinhood, and Coinbase. The CFTC plans to appeal the ruling and continue defending its claimed jurisdiction. Wisconsin court rejects CFTC injunction Judge William Griesbach of the U.S. District Court for the Eastern District of Wisconsin denied the Commodity Futures Trading Commission’s attempt to block Wisconsin from applying its gambling laws to prediction market operators. The CFTC filed the federal case in April after Wisconsin sued Kalshi, Polymarket, Crypto.com, Robinhood, and Coinbase. Wisconsin alleges that sports event contracts offered through these platforms amount to unlicensed sports betting. Griesbach found that the CFTC had not shown that it was likely to succeed on the merits, face irreparable harm, or benefit from the balance of equities required ...