New York sues Coinbase, Gemini over prediction markets

New York has filed lawsuits against cryptocurrency exchanges Coinbase and Gemini, alleging their prediction market offerings constitute illegal gambling operations. The state's Attorney General argues these platforms function as unlicensed bookmakers, with contracts representing bets on future events. This action follows similar legal challenges in other states like Nevada and Washington, which also question the regulatory status of prediction markets. The Commodity Futures Trading Commission (CFTC) has asserted its exclusive jurisdiction over these markets, intervening in cases to defend providers against state-level enforcement actions. The outcome of these disputes could significantly shape the future regulatory landscape for prediction markets in the U.S.