Crypto.com has confirmed it will suspend its sports event prediction market operations in Nevada after a U.S. District Court denied its request for a preliminary injunction. The court ruled that the company’s event-based contracts are wagers under state law, not derivatives under federal law, thereby placing them under the jurisdiction of the Nevada Gaming Control Board (NGCB).
The platform, which allows users to trade contracts based on sports outcomes, will cease all operations for Nevada residents after November 3, 2025, while it pursues an appeal to the Ninth Circuit Court. The ruling directly challenges Crypto.com’s claim that its operations fall under the Commodity Futures Trading Commission’s regulatory scope.
This case highlights an ongoing national debate on the boundaries between financial innovation and gaming law. Nevada regulators reaffirmed that all event contracts, including sports and entertainment predictions, are considered gambling activities under state law. The NGCB stated that such restrictions ensure fair play, consumer protection, and market integrity.
Legal analysts suggest that the Crypto.com case could influence the future structure of prediction markets in the U.S., particularly those leveraging blockchain and decentralised finance frameworks. If the appeal succeeds, it may open the door for federally regulated markets to operate across multiple states without additional gaming licences. Until then, Nevada remains firm in its commitment to uphold its gaming regulations and protect its jurisdictional authority.
