Federal judge blocks Minnesota’s prediction market ban days before it takes effect

A federal judge issued a preliminary injunction blocking Minnesota's ban on prediction markets like Kalshi and Polymarket days before it was set to take effect, ruling that challengers had shown they were likely to succeed on preemption grounds. The law would have made it a felony for most prediction markets to operate and advertise in the state; a Minnesota lawmaker defended the ban as addressing gambling as a public health and safety issue, while the state's attorney general said his office would continue litigating to defend the law. The ruling was also noted as potentially affecting similar bans being pursued by other states.