Ohio’s gambling regulator has told 10 prediction market and brokerage platforms to stop offering contracts on sporting events to people in the state. The Ohio Casino Control Commission (OCCC) sent cease-and-desist letters dated October 2, written by interim executive director Andromeda Morrison, giving the recipients 14 days, until October 16, to confirm they had complied.
The recipients were Polymarket, Novig, Underdog, Coinbase, ProphetX, Robinhood, Gemini Titan, Webull, Plus500 and Moomoo Financial. Kalshi, the best-known prediction market, did not receive a letter because it is already subject to a court order in its own long-running dispute with the state.
Why Ohio acted now
The letters followed a ruling on September 25 by the U.S. Court of Appeals for the Sixth Circuit, which covers Ohio and Tennessee. In the court’s view, Kalshi’s sports contracts do not count as swaps under the Commodity Exchange Act, so federal law does not stop Ohio from applying its own gambling rules to them.
That puts the Sixth Circuit on the same side as the Ninth Circuit, which ruled in Nevada’s favor, and against the Third Circuit, which sided with Kalshi in its case against New Jersey. New Jersey has asked the U.S. Supreme Court to resolve the split.
What the commission is threatening
The letters accuse each platform of offering unlicensed sports gaming and bookmaking, or facilitating bookmaking, in Ohio. Offering sports betting without a state license is a felony under Ohio law, InGame noted, and the letters warned of criminal and civil penalties, according to News 5 Cleveland. Governor Mike DeWine called the activity “pure and simple gambling.”
Licensed Ohio sportsbooks must hold a state license, pay a 20% tax on revenue and only accept customers aged 21 or over. The prediction markets do not operate under those rules.
After the deadline
By the close of business on the deadline day, most of the platforms were still offering sports contracts in Ohio, News 5 Cleveland reported. Plus500US told the commission it would stop. Polymarket and Robinhood responded with statements stressing that they fall under federal rather than state oversight. Attorney General Andy Wilson said the state would force the companies into compliance and could seek to recover the money they made in Ohio, and DeWine said the state would file suits.
What it means for players
If you use a prediction market app to trade on game outcomes in Ohio, you are using a product the state regards as unlicensed gambling, and its legal status is in dispute in the courts. That means you do not get the protections that come with a state-licensed sportsbook: age checks at 21, oversight of complaints and responsible gambling requirements.
Contracts can also be pulled or restricted at short notice if a platform decides to comply. Keep balances low and withdraw what you do not need. If you prefer to bet with a regulated sportsbook, check the commission’s list of licensed operators first. Our guide to moneyline and point spread betting explains how traditional sports bets are priced.
Sources
- Ohio Regulator Sends Cease-And-Desist Letters To 10 Prediction Platforms (InGame)
- Prediction market platforms ignoring Ohio's legal threats (News 5 Cleveland (WEWS))
- Ohio expands prediction markets crackdown after Sixth Circuit win (SBC Americas)
Written in our own words from the sources above. Spotted an error? Tell us and we will correct it and log it on our corrections page.
About the author
The BettingSeeker News Desk covers regulation, operator news and safer gambling developments in the UK, the US and Canada. Every story is based on primary sources such as regulator announcements, government publications and company filings, or on reporting by established news outlets, and every source is linked at the end of the article.
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