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Minnesota Judge Blocks Prediction-Market Ban Against CFTC-Registered Markets on July 27

Prediction Market

2026-07-28 19:42:09

KALSHI-15.75%

POLYMARKET-19.96%

On July 27, U.S. District Judge Katherine Menendez blocked Minnesota from enforcing its prediction-market ban (SF 3432) against CFTC-registered markets, determining that contracts such as Senate elections, World Cup winners, and Strait of Hormuz reopenings likely qualify as federal swaps under exclusive CFTC jurisdiction. The injunction prevented enforcement days before the statute was scheduled to take effect August 1. Judge Menendez ruled that Kalshi and Polymarket US, both operating as CFTC-designated contract markets, likely have exclusive federal protection for those event contracts, while some contracts such as Love Island outcomes may fall outside federal swap jurisdiction. The decision left a permanent injunction undecided, cautioning it may be narrower after full litigation.

Disclaimer: The information on this page may come from third-party sources and is for reference only. It does not represent the views or opinions of Gate and does not constitute any financial, investment, or legal advice. Virtual asset trading involves high risk. Please do not rely solely on the information on this page when making decisions. For details, see the Disclaimer.

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In-Depth Analysis

Minnesota Prediction Market Ban Blocked by Federal Judge for Kalshi, Polymarket

Ethan Brooks14h ago

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Ethan Brooks07-27 20:25

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