Federal judge halts Minnesota prediction market ban days before rollout

Published Jul 28, 12:39 AM UTC

A federal judge in Minnesota, District Judge Katherine Menendez, issued a temporary halt to a state ban on prediction markets just days before it was set to take effect. The judge ruled that the Trump administration, along with prediction market platforms Kalshi and Polymarket, are likely to succeed in their argument that the state ban is pre-empted by federal law. The decision blocks Minnesota from enforcing the ban while the legal challenge proceeds, marking a significant victory for the prediction market industry and federal regulatory authority over such financial instruments.