Mayor Brandon M. Scott and the Baltimore City Council have filed lawsuits against prediction market operators Kalshi and Polymarket, alleging they allow illegal sports betting in violation of the city’s Consumer Protection Ordinance. The complaints claim that both companies mislead consumers about their products being legal and properly regulated.
Kalshi and Polymarket are already facing other legal disputes unrelated to this case, indicating the seriousness with which Baltimore is treating the issue. Neither company has licenses required to offer sports betting in Maryland according to city officials, making it illegal under current regulations. The products described as “event contracts” or prediction-market trades are considered unlawful by Baltimore officials.
The lawsuits suggest that both companies engage in misleading practices regarding their legal status and regulatory compliance. This marks a significant escalation in the ongoing legal skirmishes involving these firms and regulators.
Written by Steven Cook
Regulation Desk
