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A Nevada judge signed an order effectively ensuring Polymarket cannot conduct business in the Silver State
Nevada regulators first filed a complaint back in January asking the court for a declaration and injunction to stop Polymarket from offering unlicensed wagering in violation of state law
Judge Jason Woodbury of the First Judicial District Court in Carson City, Nevada signed the order effectively ensuring Polymarket cannot conduct business in the Silver State.
In April, Woodbury issued a preliminary injunction against Kalshi from offering event-based contracts that would allow the state’s residents to place bets on sports and other matters without the company obtaining a gaming license.
The Nevada Gaming Board had filed a complaint back in January asking the court for a declaration and injunction to stop Polymarket from offering unlicensed wagering in violation of Nevada law.
Polymarket has argued it is licensed by the Commodity Futures Trading Commission (CFTC).
Polymarket operates a derivatives exchange and prediction market where it offers event contracts for sale. These products are offered for sale on Polymarket’s mobile app and are made available to people in Nevada. The Board considers offering sports event contracts, or certain other events contracts, to constitute wagering activity under NRS 463.0193 and 463.01962 and, therefore, entities offering such event contracts must be licensed.
The Board has deemed Polymarket’s operations to be unlawful in Nevada and in violation of NRS 463.160, NRS 463.350, NRS 465.086, and NRS 465.092.
Nevada has already reached for preliminary injunctions to sideline other players in the space, with the board pointing to earlier court orders aimed at Kalshi and Coinbase.
Other states, including Massachusetts, Illinois and Arizona, are also engaged in legal battles with Polymarket and Kalshi. A number of others have sent out cease and desist letters.
Sports betting market leaders FanDuel and DraftKings both entered the prediction market space late last year.
FanDuel surrendered its Nevada licenses and DraftKings withdrew its pending Nevada applications after the Nevada Gaming Control Board made clear that offering sports event contracts would be viewed as unlawful activity under Nevada law.
- Aaron Goldstein, Gambling911.com
