Share 
Bonus TL;DR
- Missouri Attorney General Catherine Hanaway issued cease-and-desist letters to six prediction market operators—Polymarket, Kalshi, Crypto.com, Novig, Underdog, and Robinhood—demanding they stop offering sports event contracts without a state license.
- The state argues that these platforms bypass Missouri’s voter-approved sports wagering laws by failing to pay required taxes and fees (such as the state’s 10% adjusted gross revenue tax) and by permitting users under 21 to place sports-linked wagers.
Missouri Attorney General Catherine Hanaway said her office has sent cease-and-desist letters to six prediction market operators, alleging their sports event contracts amount to unlicensed sports wagering under state law.
The letters target Polymarket, Kalshi, Crypto.com, Novig, Underdog, and Robinhood, according to the attorney general’s office. For bettors and operators, the move signals that Missouri is treating sports-linked event contracts as sports betting activity that must fall under the state’s gaming rules.
Hanaway said Missouri voters approved a regulated sports wagering framework and that companies cannot sidestep it by labeling bets differently. In a statement, she said, “Missourians voted for a safe, well‑regulated sports wagering market that supports public education and addresses problem gambling. Companies cannot repackage sports bets as ‘event contracts’ to avoid Missouri law. We will enforce the rules voters approved and protect consumers.”
State says sports event contracts require a Missouri license
According to the attorney general’s office, any company offering sports wagering in Missouri must be licensed by the Missouri Gaming Commission, pay required taxes and fees, and keep anyone under 21 from placing a bet.
Hanaway said, “Any company that wants to offer sports wagering in Missouri must be licensed by the Missouri Gaming Commission, pay the required taxes and fees, and ensure no one under 21 can place a bet.”
The office said Missouri law requires age verification for sports wagering. It also alleged that Polymarket, Kalshi, Underdog, Crypto.com and Robinhood either allow underage users to access their products or do not have safeguards sufficient to stop Missourians under 21 from participating in sports wagering.
What happens next
For now, the enforcement action appears limited to cease-and-desist letters. The source report did not say whether any of the six companies had responded, whether the letters set a public compliance deadline, or whether Missouri has filed any formal court action.
Still, the message from the state is clear: operators offering sports event contracts to Missouri residents should expect the state to treat those products as regulated wagering unless and until they are licensed by the Missouri Gaming Commission.
That makes this an important enforcement test for prediction market companies operating in U.S. states where regulators and attorneys general are increasingly scrutinizing whether sports-linked contracts function as traditional sports bets under existing law.
Source: As reported by koamnewsnow.com.
