Prediction Markets Legality by State
State-by-state legality of CFTC-regulated prediction markets like Kalshi and US Polymarket. Updated for 2026 cease-and-desist actions and federal court rulings.
Kalshi · Trade $25 and Get $25!
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Certain limitations apply. The offer is available to new users only, subject to the terms and conditions at kalshi.com/tc/500. 18+ only. Restrictions and eligibility requirements apply. Event contract trading involves significant risk and is not appropriate for everyone. Please carefully consider if it is appropriate for you in light of your personal financial circumstances. Kalshi products are not available in all jurisdictions. See kalshi.com/regulatory for more information.
CFTC-regulated event contracts operate under federal commodities law, but whether that overrides state gambling law for sports contracts is now split at the preliminary-injunction stage: the Third Circuit sided with Kalshi (Apr 2026), the Ninth and Sixth Circuits with the states (Aug–Sept 2026), and three Supreme Court petitions are pending. Map as of September 29, 2026 — general information, not legal advice.
32
Accessible
Kalshi · Trade $25 and Get $25!
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Claim on Kalshi (opens in a new tab)
Certain limitations apply. The offer is available to new users only, subject to the terms and conditions at kalshi.com/tc/500. 18+ only. Restrictions and eligibility requirements apply. Event contract trading involves significant risk and is not appropriate for everyone. Please carefully consider if it is appropriate for you in light of your personal financial circumstances. Kalshi products are not available in all jurisdictions. See kalshi.com/regulatory for more information.
Last checked October 27, 2026
15
Contested
3
Restricted
| State | Status | Notes |
|---|---|---|
| Alabama (AL) | Accessible | CFTC-regulated platforms accessible. No state cease-and-desist on file. |
| Alaska (AK) | Accessible | No state-level prohibition on federally regulated event contracts. |
| Arizona (AZ) | Contested | AG filed criminal counts against Kalshi (Mar 2026); a CFTC restraining order has blocked the state prosecution while federal litigation continues. |
| Arkansas (AR) | Accessible | Open to CFTC-regulated event contracts. |
| California (CA) | Contested | In the Ninth Circuit, which ruled at the preliminary stage (Aug 28, 2026) that Kalshi is unlikely to show federal law blocks state gambling law for sports contracts. On Sept 16, 2026 it also ruled for a California tribe (Blue Lake Rancheria) on tribal lands. Non-sports contracts unaffected. |
| Colorado (CO) | Accessible | Operators active. No formal state action against CFTC venues. |
| Connecticut (CT) | Contested | State issued cease-and-desist orders, most recently on Sept 10, 2026 to nine companies over sports event contracts (including Polymarket, Crypto.com, ProphetX and Novig); in Aug 2026 a federal judge denied Kalshi's request to block the state's action. Litigation ongoing. |
| Delaware (DE) | Accessible | CFTC-regulated platforms permitted. |
| Florida (FL) | Accessible | Accessible 21+. As of Sept 29, 2026 we know of no Florida Gaming Control Commission action against CFTC venues; the Eleventh Circuit has not ruled. |
| Georgia (GA) | Accessible | Operators active. No state restrictions on event contracts. |
| Hawaii (HI) | Accessible | CFTC-regulated platforms available; HI bans most other forms of gambling. |
| Idaho (ID) | Accessible | No documented state-level restriction on federally licensed exchanges. |
| Illinois (IL) | Contested | Licensing bill introduced (SB 4168, Mar 2026); the CFTC sued Illinois over its enforcement efforts (Apr 2026). |
| Indiana (IN) | Accessible | Operators active. |
| Iowa (IA) | Accessible | Operators active. |
| Kansas (KS) | Accessible | Operators active. |
| Kentucky (KY) | Accessible | Operators active. |
| Louisiana — all five exchanges: Available (no Louisiana action in our timeline). | ||
| Maine (ME) | Accessible | Operators active. |
| Maryland (MD) | Contested | Maryland Lottery & Gaming has issued formal letters to event contract operators. |
| Massachusetts — Kalshi, Polymarket US, ProphetX, Novig: Available, dispute pending; OG: Not offered. | ||
| Michigan — Kalshi: Sports contracts blocked by court order (state court injunction signed 1 Sep 2026); Polymarket US, ProphetX: Available, dispute pending; Novig, OG: Not offered. | ||
| Minnesota (MN) | Contested | A 2026 state law (SF 4760) banned prediction markets, but a federal judge halted it with a preliminary injunction (Jul 2026). |
| Mississippi (MS) | Accessible | Operators active. |
| Missouri (MO) | Accessible | Operators active. |
| Montana (MT) | Contested | MT Department of Justice has challenged sports event contracts. |
| Nebraska (NE) | Accessible | Operators active. |
| Nevada (NV) | Restricted | The Ninth Circuit ruled at the preliminary stage (Aug 28, 2026) that Kalshi is unlikely to show federal law blocks Nevada's gambling laws; Nevada courts have restricted Kalshi. Excluded from Kalshi, Polymarket US and ProphetX offers. |
| New Hampshire (NH) | Accessible | Operators active. |
| New Jersey (NJ) | Contested | The Third Circuit ruled for Kalshi at the preliminary stage (Apr 6, 2026, 2-1: Kalshi likely to show federal preemption). New Jersey has petitioned the Supreme Court (No. 26-299); not yet granted. |
| New Mexico (NM) | Contested | Polymarket sued the state AG over enforcement threats (Jul 2026). |
| New York (NY) | Contested | Operators active. The NY Attorney General sued Kalshi (Jul 2026) and Polymarket US (Sept 2026); both cases are ongoing. |
| North Carolina (NC) | Accessible | Operators active. |
| North Dakota (ND) | Accessible | Operators active. |
| Ohio (OH) | Contested | The Sixth Circuit ruled at the preliminary stage (Sept 25, 2026) that Kalshi is unlikely to show federal law blocks Ohio's gambling laws; the state has pursued a $5M fine. |
| Oklahoma (OK) | Accessible | Operators active. |
| Oregon (OR) | Accessible | Operators active. |
| Pennsylvania (PA) | Accessible | Operators active. |
| Rhode Island (RI) | Accessible | Operators active. |
| South Carolina (SC) | Accessible | Operators active. |
| South Dakota (SD) | Accessible | Operators active. |
| Tennessee (TN) | Contested | The Sixth Circuit ruled at the preliminary stage (Sept 25, 2026) that Kalshi is unlikely to show federal law blocks Tennessee's gambling laws, after the state's cease-and-desist. |
| Texas (TX) | Accessible | Operators active. No state action despite no legal sports betting. |
| Utah (UT) | Contested | A federal judge allowed Utah to enforce its anti-gambling laws against Kalshi (Aug 2026). |
| Vermont (VT) | Accessible | Operators active. |
| Virginia (VA) | Accessible | Operators active. |
| Washington — Kalshi: Sports contracts blocked by court order (sports, elections and several other categories blocked since 19 Aug 2026; commodities, climate, economics and finance stay open); others: Available, dispute pending. | ||
| West Virginia (WV) | Accessible | Operators active. |
| Wisconsin (WI) | Accessible | Operators active. |
| Wyoming (WY) | Accessible | Operators active. |
Status reflects the public regulatory posture as of the "Updated" date above and is not legal advice. Confirm current eligibility on the operator's signup page before depositing.
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Prefer another exchange?
Trade $25, get $25 on Kalshi instead (opens in a new tab)18+ Only. Restrictions and eligibility requirements apply. Not available in all jurisdictions. Trading is risky. 100% loss can occur. See polymarket.com/tos for more information. The Polymarket US App serves as an independent software provider and affiliate of Polymarket US and Polymarket Clearing, the CFTC-regulated exchange and clearing organization.
FAQ
State Legality Questions
What does 'Available, dispute pending' mean?
It means the platforms accept residents of that state, but a court case or state action over sports event contracts is still open. Federal appeals courts are split at the preliminary stage: the Third Circuit sided with Kalshi (April 6, 2026), while the Ninth (August 28, 2026) and Sixth (September 25, 2026) sided with the states. Kalshi asked the full Sixth Circuit to rehear the case on October 9, 2026; the court has not ruled.
If a state has a dispute pending, can I still trade there?
Usually yes. Court orders block Kalshi's sports contracts in Nevada, Michigan and Washington, and Polymarket US is not offered in Nevada. Always confirm in the operator's sign-up flow, which checks your location in real time.
Why is Florida open while other states have disputes?
As of October 3, 2026, we know of no formal Florida Gaming Control Commission action against CFTC-regulated event contract exchanges, and Florida's gambling statutes (Chapter 849) target unlicensed bookmaking and lotteries. Florida's federal appeals court (the Eleventh Circuit) also hasn't ruled on the issue, unlike the Third, Sixth and Ninth Circuits.
Disclaimer: This page is informational only and is not legal advice. State regulatory posture changes frequently; federal court rulings can shift status overnight. Always verify legality with a qualified attorney before funding an account, and rely on the operator's own real-time geo-check at signup. See our Florida deep-dive for state-specific detail.
Sources & references
- KalshiEX LLC v. Flaherty, No. 25-1922 (3d Cir. Apr. 2026) — opinion (opens in a new tab) — U.S. Court of Appeals for the Third Circuit
- States can regulate prediction markets as gambling, federal appeals court rules (9th Cir., Aug. 28, 2026) (opens in a new tab) — CNN Business
- Appeals court rules that states can regulate Kalshi's sports prediction markets (6th Cir., Sept. 25, 2026) (opens in a new tab) — CNBC
- Prediction Markets Legal Timeline 2026: States, Courts & Federal Regulation (opens in a new tab) — RotoWire
- Commodity Futures Trading Commission: Event Contracts (opens in a new tab), CFTC.gov
- CFTC.gov: CFTC rules in the Federal Register (opens in a new tab)
- KalshiEX LLC: DCM Registration (opens in a new tab), CFTC.gov
- Reuters: Kalshi wins court battle to offer election contracts (opens in a new tab)
- Polymarket and the rise of prediction markets (opens in a new tab) — Associated Press
- Wall Street Journal: Prediction markets coverage (opens in a new tab)
External links open in a new tab. We cite primary regulatory and major news sources where possible. Citations to trusted regulators (CFTC, SEC, IRS, NOAA, .gov, .edu) are dofollow; commercial outbound links are not endorsements.
Related reading
- Are Prediction Markets Legal in Florida?
- Top Prediction Market Apps
- How to Trade Prediction Markets
- Affiliate Disclosure
Frequently asked questions
What does 'Available, dispute pending' mean?
It means the platforms accept residents of that state, but a court case or state action over sports event contracts is still open. Federal appeals courts are split at the preliminary stage: the Third Circuit sided with Kalshi (April 6, 2026), while the Ninth (August 28, 2026) and Sixth (September 25, 2026) sided with the states. Kalshi asked the full Sixth Circuit to rehear the case on October 9, 2026; the court has not ruled.
If a state has a dispute pending, can I still trade there?
Usually yes. Court orders block Kalshi's sports contracts in Nevada, Michigan and Washington, and Polymarket US is not offered in Nevada. Always confirm in the operator's sign-up flow, which checks your location in real time.
Why is Florida open while other states have disputes?
As of October 3, 2026, we know of no formal Florida Gaming Control Commission action against CFTC-regulated event contract exchanges, and Florida's gambling statutes (Chapter 849) target unlicensed bookmaking and lotteries. Florida's federal appeals court (the Eleventh Circuit) also hasn't ruled on the issue, unlike the Third, Sixth and Ninth Circuits.
21+ · T&Cs apply · Terms
Certain limitations apply. The offer is available to new users only, subject to the terms and conditions at kalshi.com/tc/500. 18+ only. Restrictions and eligibility requirements apply. Event contract trading involves significant risk and is not appropriate for everyone. Please carefully consider if it is appropriate for you in light of your personal financial circumstances. Kalshi products are not available in all jurisdictions. See kalshi.com/regulatory for more information.