🚨 BREAKING: CFTC SUES MINNESOTA OVER PREDICTION MARKET BAN
The U.S. Commodity Futures Trading Commission (CFTC) filed a federal lawsuit against Minnesota on Tuesday, challenging a newly signed state law that criminalizes operating prediction markets. The agency is seeking an emergency injunction to block the law before it takes effect on August 1, 2026.
• Minnesota Governor Tim Walz signed the measure on May 19, making it the first state law to impose felony charges for hosting or advertising prediction market platforms like Kalshi and Polymarket.
• The law extends even to VPN services that could help users bypass the ban. It targets wagers on sports, elections, weather and live events.
• CFTC Chairman Michael S. Selig: "This Minnesota law turns lawful operators and participants in prediction markets into felons overnight."
• The CFTC argues the state is overstepping federal authority. The agency has already sued Arizona, Connecticut, Illinois and New York over similar efforts.
