Pressure Builds in Ohio Against Sports Event Contracts

The Ohio Casino Control Commission (OCCC) has sent cease-and-desist letters to a large number of companies offering sports event contracts in the state. The regulator argues that these contracts are illegal under local law. The 10 companies that received letters include Coinbase, Gemini, Moomoo Financial, Novig, Plus500US, Polymarket, ProphetX, Robinhood, Underdog Predict and Webull Financial.

Half of the companies complied with the order and removed their offers. Four new companies followed the OCCC's preliminary order. Robinhood, Gemini and Moomoo Financial are leaving the state and have fully removed their offerings. Coinbase had complied earlier. The number of compliant companies has reached five, and the other compliant company on the list is Plus500US.

Polymarket and Underdog, however, argue that the OCCC has exceeded its authority by attempting to subject sports event contracts to state gambling laws. Kalshi suffered a legal defeat in the state in late September after a ruling from the Sixth Circuit Court of Appeals. The outcomes of the Underdog and Polymarket cases are not yet known, but it is considered likely that the OCCC will prevail in those cases as well.

It has not yet been announced whether Novig, ProphetX and Webull will comply.