Minnesota governor signs prediction market ban into law
Gov. Tim Walz signed SF 4760, a Minnesota omnibus public safety bill, on May 18, 2026, that bans prediction market trading and criminalizes the operation of prediction market exchanges. The Minnesota Legislature had passed the measure on May 13, 2026. The legislation does not specify which prediction market platforms are affected or when the ban takes effect, but it is expected to trigger lawsuits challenging the state's authority to restrict event-contract platforms operating under federal regulatory frameworks. The signing follows the bill's passage to Walz's desk earlier in the week. No details on exact scope or enforcement mechanisms were available in the bill text.
Kalshi and Polymarket must now build or accelerate geoblocking and compliance systems for a fourth jurisdiction — Minnesota joins Ohio, Pennsylvania, and federal proposition discussions — or face immediate state-level criminal exposure for operating prediction market exchanges.
Third state-level ban or restriction targeting prediction market platforms this week, after parallel legislative moves in Ohio and Pennsylvania, deepening the compliance maze for federally regulated operators already fighting tribal and federal enforcement fronts.