Coinbase Financial Markets, Inc. v. Tong

Injunction denied; Second Circuit also denied an injunction pending appeal; merits appeal pending2d Cir.Platform v. State

Docket last checked November 8, 2026. Snapshot — not legal advice.

As of November 8, 2026, the legality of prediction markets in Connecticut is unresolved — litigation is ongoing with no final ruling yet. Connecticut status and cases →

Overview

Coinbase’s Connecticut suit, filed December 2025 against the same officials Kalshi sued — and decided by the same judge, the same day, on the same reasoning. On August 10, 2026 Judge Vernon D. Oliver denied Coinbase a preliminary injunction, attaching his opinion in KalshiEX LLC v. Cafferelli as the exhibit that carries the analysis. Coinbase filed a notice of appeal on August 14 and moved for an emergency injunction pending appeal; the district court denied that too, on August 18.

The case below is now administratively closed and stayed until 21 days after the Second Circuit decides. Connecticut is therefore a three-track state at the Second Circuit — Kalshi (No. 26-2239), Coinbase (No. 26-2297), and the New York appeal (No. 26-1835) that the court is hearing in tandem with Kalshi’s. On November 3, 2026 the panel (Judges Walker, Jacobs and Bianco) heard the three motions for injunctions pending appeal together and denied all three the same day, holding only that the appellants had not made the required showing. The appeals themselves remain pending.

Changes

November 2026

  • Ruling

    The Second Circuit denied Coinbase’s motion for an injunction pending appeal against Connecticut, in the same order that denied Kalshi’s New York and Connecticut motions. Coinbase’s appeal continues on the merits.

    Order, 2d Cir. Nos. 26-1835, 26-2239, 26-2297 (Nov. 3, 2026)

October 2026

  • Schedule

    The Second Circuit set argument for November 3 on Coinbase’s motion for an injunction pending appeal, in tandem with Kalshi’s Connecticut and New York motions. The CFTC filed an amicus brief on October 14.

    Notice, 2d Cir. No. 26-2297 (ECF 39)

Timeline

December 2025

Coinbase Financial Markets sues Connecticut’s Attorney General and consumer-protection regulators and moves for a preliminary injunction.

August 2026

Judge Oliver denies the preliminary injunction, incorporating his opinion in the parallel Kalshi case; Coinbase appeals.

August 2026

The district court denies an injunction pending appeal and stays the case pending the Second Circuit.

October 7, 2026

Coinbase files its Second Circuit opening brief and joint appendix.

October 2026

The CFTC files an amicus brief (October 14); the court sets argument on Coinbase’s injunction motion for November 3, with Connecticut’s brief due November 20.

November 3, 2026

After argument, the Second Circuit denies Coinbase’s motion for an injunction pending appeal, together with Kalshi’s Connecticut and New York motions.

What's next: Connecticut’s merits brief is due November 20, 2026, and Coinbase’s reply follows. Coinbase filed its opening brief on October 7, the CFTC filed an amicus brief on October 14, and Coinbase added appellate counsel, including Jeffrey B. Wall, in October. The November 3 order gives no reasoning beyond the standard for interim relief and does not bar Connecticut from enforcing against Coinbase while the appeal is pending. The case in the district court stays closed until 21 days after the Second Circuit decides the appeal. November 20, 2026: Connecticut’s merits brief due (2d Cir.)

Parties

Plaintiffs

  • Coinbase Financial Markets, Inc.

Defendants

  • William Tong (Connecticut Attorney General)
  • Bryan T. Cafferelli (Commissioner, Connecticut Department of Consumer Protection)
  • Kristofer Gilman
This page is informational, not legal advice. Nearly every entry in this tracker is a preliminary ruling under appeal. Always verify a platform's current, location-specific eligibility directly with the venue before relying on this page.