Connecticut's Department of Consumer Protection has issued cease-and-desist orders to nine prediction market platforms: Polymarket, Coinbase, Crypto.com, Robinhood, ProphetX, Novig, Webull, Gemini and Underdog Predict. The companies must immediately stop advertising and accepting sports event contracts from state residents, and allow customers to withdraw funds.
The action follows an August federal court ruling that classified sports event contracts as illegal betting not protected by federal commodities law. Earlier this month the state also filed suit against Kalshi. Governor Ned Lamont said prediction markets present themselves as legal and safe but fail to comply with state gambling and consumer protection law. Authorities accuse the platforms of accepting wagers from users under 21 and from self-excluded individuals, and of offering bets on Connecticut college sports, which is prohibited.
The American Gaming Association estimates prediction market NFL betting will reach $40 billion this year. One platform recorded nearly $250 million in college football handle on the first day of the 2026 season.
As part of the investigation, the department issued subpoenas to nine licensed gaming service providers (PayPal, LexisNexis, Plaid, SportRadar Solutions, Genius Sports Media and others), 15 media companies (ESPN, Fox61, Hartford Courant and others) and five firms linked to app stores or payments (Apple App Store, Google Play, Stripe). Those subpoenaed are not targets of the probe.
Legal betting in Connecticut has been available since 2021 through DraftKings (Foxwoods), FanDuel (Mohegan Sun) and Fanatics (Connecticut Lottery).
