New Jersey regulators have ordered Calci and Robinhood to stop offering forecast markets based on sporting events to locals in New Jersey.
Robinhood partnered with Calci earlier this month Launch forecast market focused on March MadnessNCAA Basketball Tournament.
With the order of suspension and order dated Thursday, it was viewed DecryptionNew Jersey’s gaming enforcement unit claims that the trade platform illegally provides sports betting services in Garden State. Regulators have called for the companies to stop New Jersey residents from placing bets on track and field events and to stop existing sports-related bets from those living there.
According to the letter, Robinhood and Karshi must comply with the orders by the end of March 28th.
“This letter will serve as an official notice by promoting and/or accepting fraudulent sports betting from individuals within New Jersey, as well as the official notice that they are engaged in illegal activities under the New Jersey Constitution, as well as New Jersey law.”
State regulators added that the trade platform’s actions violate New Jersey’s sports betting law. It added, “it simply allows authorized entities to offer sports betting to customers in New Jersey.”
Almost two weeks ago, Robinhood launched its March crazy forecast market with Kalshi in order to capitalize on traders’ growing appetites against sports betting. Legal Sports Betting exceeded $140 billion in 2024, up about 23% from the previous year. It has been reported.
However, forecast market operators such as Kalshi have encountered several regulatory obstacles as they aim to address their growing market.
Earlier this month, Calci received an order from Nevada regulators to halt derivative transactions at state experts and university track and field events. And this week, Baron It has been reported Washington state regulators are considering calci as a similar directive.
“The event agreements offered by Robinhood Derivatives are federally regulated by the CFTC and provided through CFTC registered entities to ensure that retail customers have access to these forecast markets in a safe and regulated way,” Robinhood said through a spokesman. “We don’t believe these contracts are in violation of state law, but we do not allow New Jersey residents to enter new positions in contact for men’s and women’s basketball tournament events.”
A spokesperson for calci said Decryption Something the company may comment later.
Edited by James Rubin
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