Louisiana AG sues Kalshi, Polymarket, Robinhood, Coinbase, and Gemini over prediction markets

Louisiana has decided that prediction markets look a lot like gambling, and it is taking several of the biggest names in trading to court over it.

On November 12, 2026, Attorney General Liz Murrill filed a lawsuit in state court against Kalshi, Polymarket, Robinhood, Coinbase, and Gemini. The state alleges the platforms are breaking Louisiana’s gambling and sports wagering laws by offering event contracts tied to sports, awards, and elections.

Kalshi did not wait to be served politely. The company has sought an emergency court order against the state, setting up a fight over who actually gets to regulate these products.

What Louisiana is asking for

The suit seeks an immediate temporary restraining order and an injunction. Put simply, Louisiana wants the platforms to stop offering the contracts in question, and it wants that to happen quickly rather than after years of litigation.

Murrill emphasized that prediction markets could allow people to wager on a wide range of subjects.

The lineup of defendants is notable on its own. Kalshi and Polymarket are dedicated prediction-market operators. Robinhood is a retail brokerage, while Coinbase and Gemini are crypto exchanges. Louisiana is effectively treating all five as participants in the same activity, regardless of how each describes its business.

This marks the first time Louisiana has rolled its enforcement efforts against a broad group of prediction-market platforms into a single lawsuit. Rather than picking off companies one at a time, the state is going after the category.

The federal versus state showdown

Kalshi filed a preemptive federal suit on October 23, 2026, in the Western District of Louisiana. Polymarket has also filed in federal court. Both companies argue that the Commodity Exchange Act, a federal law governing commodities and derivatives trading, preempts state law.

The companies have also pointed to regulatory changes that have been in effect since August 2026 as support for that argument.

So the shape of the dispute looks like this. The platforms went to federal court first to argue the state has no authority. The state then went to its own courts to argue it does. Now Kalshi wants an emergency order to keep the state at bay while that gets sorted out.

As of November 12, 2026, no final rulings have resolved any of the cases filed in Louisiana. Everything remains contested.

How Louisiana got here

In 2025, the Louisiana Gaming Control Board issued an advisory stating that sports event contracts constitute gambling under state law.

Louisiana also tightened its own rules this year. New legislation passed in 2026 expanded the definitions and penalties related to unauthorized gambling activity.

The state is far from alone. Active enforcement actions against similar platforms have been reported in at least 12 other states as of November 2026. Louisiana is joining a crowded field, though its decision to name five companies in one filing stands out.

What this means for the platforms and their users

The most immediate stakes are operational. If Louisiana wins its restraining order or injunction, the named platforms could be forced to stop offering sports, awards, and election contracts to users in the state, at least while the broader case plays out.

The crypto exchanges deserve a specific watch. Coinbase and Gemini being named alongside dedicated prediction-market operators suggests states are not drawing a meaningful distinction based on the type of platform.

The key things to track are the response to Kalshi’s emergency request, any ruling on Louisiana’s restraining order, and how the federal suits from Kalshi and Polymarket progress in parallel.

The preemption question is the hinge. If federal courts agree the Commodity Exchange Act controls, state gambling statutes may have limited reach over these contracts. If they do not, Louisiana and the at least 12 other states taking action could have a much stronger hand.