New York Sues Polymarket Over Unlicensed Gambling Allegations

New York Attorney General Letitia James has filed a lawsuit against QCX LLC, the operator of Polymarket US, alleging the platform functions as an unlicensed gambling business. The state argues that Polymarket's event contracts, which allow users to wager on outcomes like sports and elections, violate state gaming laws. The petition seeks to halt operations in New York, demanding restitution and penalties, despite the platform's status as a CFTC-designated contract market. Governor Kathy Hochul emphasized that the company's marketing claims of legality do not exempt it from state gambling regulations.