New York Sues Coinbase and Gemini Over Alleged Illegal Gambling Operations

53 articles · Updated · Reuters · Apr 21

New York Attorney General Letitia James has filed lawsuits against Coinbase and Gemini, alleging their prediction markets constitute illegal gambling under state law.
The lawsuits claim both platforms allow bets on sports and other events without a state gaming license, and permit under-21 users in violation of New York regulations.
Coinbase and Gemini argue their platforms are federally regulated, highlighting ongoing legal uncertainty as courts and regulators address the status of prediction markets nationwide.

Is New York stifling financial innovation by labeling these platforms as illegal gambling?

If states win their legal battle, what happens to the billions already wagered?

Will the Supreme Court ultimately decide if prediction markets are finance or gambling?

Can the understaffed CFTC win its jurisdictional war against dozens of states?

Are today's gambling laws too archaic to regulate modern digital markets?