Are Prediction Markets Legal in New York?

Last updated September 27, 2026. Snapshot — not legal advice.

As of September 27, 2026, New York has a restriction on prediction-market platforms currently in effect.

Prediction markets in New York

Restriction in effect

New York is the sharpest federal-versus-state conflict in the country, and it now runs against several platforms at once. Against Kalshi there are three tracks: a federal judge denied it a preliminary injunction and held that the Commodity Exchange Act does not preempt New York’s gambling law (KalshiEX LLC v. Williams, July 2026, now on appeal to the Second Circuit) — the leading counterweight to New Jersey; the Attorney General separately brought a state-court special proceeding under Executive Law § 63(12); and the United States and the CFTC sued the state. The Attorney General also petitioned against Coinbase Financial Markets, which removed the case to federal court, where the contested question so far is which courthouse hears it at all. On September 24, 2026 she filed a matching petition against QCX LLC, which does business as Polymarket US, which removed it to federal court the same day and sued the state in return. Two more designated contract markets sued the state pre-emptively: Crypto.com’s exchange arm, whose injunction motion is set for hearing in September 2026, and Novig, denied an emergency restraining order in August 2026 on the strength of the Kalshi ruling and expressly without any merits decision. Meanwhile a state proceeding seeks to shut Kalshi down while the CFTC has ordered it to keep operating.

Litigation affecting New York

KalshiEX LLC v. WilliamsPreliminary injunction denied (July 2026); CEA held not to preempt New York gambling law.

Injunction denied; on appeal (2d Cir.)

United States v. State of New YorkJudge Schofield heard the federal government’s preliminary-injunction motion on September 14, 2026, jointly with Crypto.com’s, and did not rule from the bench.

Preliminary injunction argued; decision pending

People of the State of New York v. KalshiEX LLCThe New York AG filed an Executive Law § 63(12) special proceeding against KalshiEX LLC seeking an injunction, restitution, disgorgement, and statutory penalties.

Removed; remand motion briefed and undecided

People of the State of New York v. Coinbase Financial Markets, Inc.Coinbase removed New York’s state-court enforcement petition to federal court (April 2026); the state’s remand motion has been fully briefed since June 2026 and is undecided.

Removed; remand motion briefed and undecided

People of the State of New York v. Gemini Titan, LLCGemini removed New York’s state-court enforcement action to federal court (April 2026); the state’s remand motion has been fully briefed since June 2026 and is undecided.

Removed; remand motion briefed and undecided

People of the State of New York v. QCX LLC (d/b/a Polymarket US)The New York Attorney General filed an Executive Law § 63(12) petition against Polymarket US and sought a restraining order; Polymarket US removed it before service, invoking the federal-officer removal statute.

Removed to federal court (Judge Abrams); no ruling

Ludlow Exchange, LLC (Novig) v. JamesJudge McMahon denied Novig an emergency TRO (August 2026) on the strength of Judge Torres’s Kalshi ruling, expressly without reaching the merits.

TRO denied; preliminary injunction to be decided on the papers

North American Derivatives Exchange, Inc. (Crypto.com) v. JamesJudge Schofield heard Crypto.com’s preliminary-injunction motion on September 14, 2026, jointly with the federal government’s parallel motion, and did not rule from the bench.

Preliminary injunction argued; decision pending

QCX LLC (d/b/a Polymarket US) v. JamesPolymarket US sued New York’s Attorney General and Gaming Commission (September 24, 2026) for a declaration that federal law preempts state enforcement against its event contracts.

Filed; no ruling

Which platforms are available in New York?

Each platform’s own published availability list, checked September 24, 2026. This table covers the platforms whose complete list we could verify from a primary source: Kalshi, Polymarket (international), DKeX (DraftKings Predictions), Underdog (Underdog Predict), Novig.

Platform availability in New York
Platform	Status in New York	Source
Kalshi	Offered here, per the platform’s own availability list	Platform’s list
Polymarket (international)	Unavailable here	Platform’s list
DKeX (DraftKings Predictions)	Offered, with sports restricted	Platform’s list (archived Sep 16)
Underdog (Underdog Predict)	Unavailable here	Platform’s list
Novig	Offered here, per the platform’s own availability list	Platform’s list

Sports betting & gambling in New York

Legal — Online & Retail

Retail at commercial/tribal casinos from 2019; statewide mobile launched January 2022 The market is regulated by the New York State Gaming Commission. Tribal gaming: Moderate (Oneida, Seneca, and Akwesasne Mohawk compacts).

The federal-vs-state fight

Every entry in this fight turns on the same question: does a prediction-market platform's federal regulation by the CFTC preempt a state's gambling law, or does the state retain authority to restrict it? Courts around the country are answering that question differently — sometimes for the platform, sometimes for the state — and almost every ruling so far is preliminary and under appeal. Treat this page as a snapshot, not a final word.

This page is informational, not legal advice. Nearly every litigation entry referenced here is a preliminary ruling under appeal. Always verify a platform's current, location-specific eligibility directly with the venue before relying on this page.