Underdog sues Tennessee regulators to block prediction market enforcement action
By SectorWire desk · · Updated
Summary
Underdog has filed suit against Tennessee sports betting regulators to stop them applying state gambling law to its prediction market business. This follows an 9 October cease-and-desist order from the Tennessee Sports Wagering Council, which threatened civil penalties, criminal investigations and revocation of Underdog's fantasy sports licence. Underdog argues the Commodity Futures Trading Commission has exclusive jurisdiction, and Tennessee is the seventh state it has sued, after a Sixth Circuit ruling against Kalshi in September.
Why it matters
The suit contests state authority over Underdog’s prediction market and follows a ruling against Kalshi.