Categories: News & Updates

Another Caution Regarding Sports Event Contracts Is Issued by the Nevada Gaming Control Board

The Nevada Gaming Control Board (NGCB) is reminding its licensees once more of its belief that internet exchanges that facilitate contracts for sporting events are involved in unlawful sports betting, following a significant court verdict.
US District Judge Andrew Gordon backed with the NGCB last week when he declared that businesses like Kalshi, Robinhood, and Crypto.com that offer shares on sports event outcomes are engaging in illegal gambling. According to the corporations, their contracts—including those pertaining to sports—are subject to Commodity Futures Trading Commission regulation since they are financial instruments under federal law.

ALSO READ: A significant judicial victory for Kalshi prediction markets is overturned by a federal judge in Nevada.

The NGCB and Gordon don’t agree. The NGCB, which is regarded as the gold standard of gaming regulation, sent another notice to its casinos, sportsbooks, and gaming licensees after the historic decision, stating that they are not permitted to do business with exchanges that continue to offer contracts for sporting events in Nevada without a state-issued license.

Notice to Licensees
According to the NGCB, Kalshi has not stopped operating sports event contracts in Nevada, although Robinhood and Crypto.com have. The NGCB says it would “vigorously oppose” Kalshi’s appeal of Gordon’s ruling.

Regardless of whether the wagering takes place on a CFTC-regulated exchange, the NGCB views a sports event contract as a betting transaction.

Courtesy: https://www.covers.com, https://www.casino.org, https://pechanga.net

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