Coinbase Will Halt Sports Prediction Contracts In Michigan After State Deal

Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure TL;DR: Coinbase Financial Markets has agreed to stop offering new sports-related event contracts to Michigan customers by October 10 and close remaining open positions by the same deadline. Michigan agreed not to pursue enforcement while Coinbase complies, but the wider legal fight over whether states can regulate federally registered event contracts remains unresolved. Coinbase is pulling sports prediction contracts out of Michigan while its legal battle with the state continues. The Michigan Gaming Control Board said Coinbase Financial Markets has agreed to stop offering new sports-related event contracts to residents by midnight Eastern Time on October 10. Any remaining open customer positions must also be closed by that deadline. The agreement does not settle the underlying argument. Coinbase has maintained that event contracts offered through federally regulated designated contract markets fall under federal commodities oversight rather than state gambling law. Michigan sees the products differently. State regulators have argued that sports contracts amount to wagering and there...