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Nevada Seeks Court Order to Halt Coinbase Prediction Markets Over Unlicensed Wagering

The filing escalates a jurisdiction fight over whether event contracts fall under federal derivatives rules or Nevada gaming law.

Overview

  • The Nevada Gaming Control Board filed a civil enforcement case in Carson City seeking an ex parte temporary restraining order, a permanent injunction, and declaratory relief against Coinbase Financial Markets.
  • Regulators say Coinbase’s event contracts constitute wagering under NRS 463.0193 and 463.01962, alleging unlicensed operations and allowing 18+ users despite Nevada’s 21+ gambling age.
  • Coinbase rolled out in-app yes/no event contracts nationwide last month via CFTC-regulated Kalshi and has sued regulators in Connecticut, Michigan, and Illinois asserting federal preemption.
  • Nevada argues the operation causes ongoing irreparable harm and confers an unfair advantage over licensed sportsbooks that pay taxes and fees and meet stricter consumer protection requirements.
  • The action follows a Nevada temporary restraining order against Polymarket and ongoing litigation with Kalshi, with reports noting possible forthcoming CFTC guidance that could shape these disputes.