Here & Now

Wisconsin Files Suit Against Prediction Market Businesses

Frederica Freyberg:
The burgeoning interest in sports-related prediction markets over the last few years has led to platforms like Kalshi and Polymarket to trade in billions of dollars annually and wanting to cash in on Wisconsin customers. But State Attorney General Josh Kaul this week filed a lawsuit against these and other similar platforms, saying they may use new terminology, but they are still violating Wisconsin gambling laws.

Josh Kaul:
The platforms where this is taking place are known as prediction markets. And what we allege is that the way these companies have framed this is that you can, on those prediction markets, purchase what they call an event contract. And what we allege here is that the event contracts on sporting events are indistinguishable legally or practically for that matter, from sports betting and constitute sports betting under Wisconsin law.