Polymarket challenges Ohio sports betting rules on constitutional grounds

Polymarket has filed a complaint against Ohio regulators in which it argues that the state's online sports betting framework violates the Commerce Clause. The operator says the framework discriminates against interstate commerce by requiring licensees to maintain an in-state physical presence and in-state servers, and describes the requirements as "unlawful protectionism".

The complaint questions whether Ohio's licensing framework is itself constitutional, rather than whether federal commodities law preempts state gambling regulation, according to the report. It was reported that much of the litigation involving Kalshi and Polymarket has centred on preemption.

Separately, the CFTC has opened two comment periods, one on banning casino-style gambling products and one on defining "swap" to explicitly include event contracts, both open until 18 November, according to the report. It was reported that the agency's eventual stance may shape the contracts exchanges are allowed to offer and how the federal government separates financial products from gambling.

Kalshi has asked for a month-long extension in its Supreme Court proceedings, the report said. The operator has submitted rehearing petitions to the Sixth and Ninth Circuits seeking review of their latest rulings, pointing to the forthcoming CFTC rules, and Nevada has already responded to the Ninth Circuit request, contending that the regulation still in the pipeline "would not change the outcome here".

Washington State has filed a motion to dismiss Novig's lawsuit over sports prediction markets, pointing to federal rulings holding that such markets remain governed by state gambling laws, according to the report. North of the border, the Canadian Investment Regulatory Organization has revised its requirements so that sports event contracts are now expressly banned.

The Lumbee Tribal Council approved a gaming ordinance in a 14-2 vote on 19 October, the report said. After certification, the measure goes before Lumbee voters in a referendum 45 days later, with the tribe's Election Board setting the official date; tribal officials expect the vote between 10 and 15 December 2026. The ordinance does not guarantee that a casino will materialise.

Polymarket and its athlete endorsers have faced criticism over a market involving the Cornell 7, according to Front Office Sports, and the market has since been removed, FOS reporter Ben Horney said. The market, which was unavailable on Polymarket's US app, launched on 30 September and drew $451,633 in trading volume by early Monday afternoon; at that point, traders priced in about a 28% chance that at least one member of the Cornell 7 would face a felony sex crime charge by 31 January 2027, the market's scheduled closing date.

Novig and IC360 have broadened their partnership to bolster trust, safety and integrity safeguards across sports prediction markets, the report said. Kalshi revealed in March that it had teamed up with the integrity firm, and in an earlier statement Kalshi said: "IC360 shares with Kalshi alerts triggered on other platforms that offer sports markets, so Kalshi is alerted to suspicious activity in markets that are live on other trading exchanges and platforms."

Fanatics Sports announced on 19 October that it would offer full-game player protection at no extra cost for the whole season, the report said. The announcement comes amid growing debate over the way operators deal with injured players and what safeguards customers have when athletes exit games before the final whistle.