A new federal court preliminary injunction blocks Illinois from enforcing the prediction markets licensing and tax law state legislators passed in June.
In an order issued Friday, October 30, Judge Martha Pacold wrote that Illinois officials including Attorney General Kwame Raoul cannot enforce state gaming laws, including the Sports Wagering Act, illegal gambling statutes, or the ‘Internet Wagering’ provisions of the Illinois Admin Code, on the trading of swaps, including sports event contracts, that are available via Commodity Futures Trading Commission-registered companies like Kalshi.
The decision combines three separate Illinois prediction markets cases:
- Coinbase v. Raoul et al.
- The CFTC, the Coalition for Fair Markets, and OG.com v. the state of Illinois et al.
- Kalshi v. Raoul et al.
Coalition for Fair Markets membership includes Kalshi, Polymarket, and Crypto.com.
