Louisiana Judge Bars Kalshi, Polymarket, Coinbase From Prediction Markets

A Louisiana judge has temporarily barred Kalshi, Polymarket, Coinbase, Robinhood and dozens of affiliated entities from offering or facilitating prediction market contracts to Louisiana residents without a valid gaming license, according to the court order granted at the request of state Attorney General Liz Murrill.

The ex parte temporary restraining order, issued without prior notice or a bond, prohibits the companies from operating, listing, accepting, settling, brokering or otherwise facilitating event contracts involving Louisiana residents. It also bars them from accepting wagers or allowing market access to people in the state.

What does the order require the operators to do?

The court imposed several specific obligations on the defendants:

• Block Louisiana users through geofencing
• Stop accepting wagers from state residents
• Refrain from representing that their offerings are lawful, licensed or authorized under Louisiana law

The order broadly defines event contracts as wagers involving money or other value placed on uncertain outcomes, covering sports, elections, awards events and other forms of wagering. That definition reaches far beyond sports-focused platforms and captures the election and event markets at the core of Kalshi's and Polymarket's businesses.

The defendant list goes well beyond the biggest names. Crypto.com, Novig, Underdog, ForecastEx, IG Group, Gemini and ProphetX are all named alongside Kalshi, Polymarket, Robinhood and Coinbase. The scope signals that Louisiana's Attorney General views the entire prediction market sector as operating outside the state's gambling framework, not just a handful of offshore venues.

Why did the judge grant immediate relief?

The judge found that the state's petition demonstrated ongoing violations of Louisiana gambling laws and immediate, irreparable harm to the state and its citizens. The court also determined that the public interest and balance of equities supported the restrictions — the standard justification for emergency relief granted before defendants can respond.

Murrill laid out her position on X on Thursday. Companies must hold a gaming license to legally offer gambling in Louisiana, she said, arguing that prediction market operators are offering gambling products under different terminology to avoid state laws, regulators and taxes. She added that courts across the country have largely characterized such activities as gambling.

That framing cuts directly at the core legal argument used by CFTC-regulated venues: that event contracts are financial instruments rather than wagers. Louisiana is treating the product as gambling, full stop, which brings its gaming commission — and its licensing regime — into the picture.

What happens next?

The restrictions remain in place for 10 days after the order's issuance unless the court extends them or the defendants consent to a longer period. The court has scheduled a November 30 hearing at 9 a.m. to consider the state's request for a preliminary injunction.

For the named operators, the immediate operational burden is compliance: geofencing Louisiana users, halting settlement and brokerage activity for state residents, and scrubbing any claims of lawful operation in the state. A preliminary injunction on November 30 could convert those emergency measures into a longer-term blockade while the underlying gambling-law claims proceed.