New York is kicking off a broad, decade-long study to better understand how people across the state gamble and where support systems may be falling short. Governor Kathy Hochul says the effort is meant to bring clearer insight into addiction risks and how services can respond.

Statewide study aims to track gambling behavior over time

The project will reach adults 18 and older in every region, using surveys, interviews, and focus groups to paint a detailed picture of gambling habits, awareness, and addiction rates. The New York State Office of Addiction Services and Supports will run the study, and officials say the findings will directly shape prevention and treatment programs in the years ahead.

New York State remains committed to helping those impacted by problem gambling, which can affect anyone, regardless of age or where they live,” Governor Hochul said. “We look forward to gaining valuable insight into the gambling behaviors of New Yorkers as part of this effort, as we continue to work to raise awareness of this issue. This effort will help ensure we’re using real data to guide smart, targeted investments that protect New Yorkers and strengthen access to care.”

Researchers plan to follow trends over time, looking closely at how gambling affects different communities and where gaps in outreach or care may exist. Broader research has already shown that gambling can carry significant financial and psychological risks, particularly among high-frequency users.

Expansion of legal gambling drives urgency for research

State leaders point to the rapid growth of legal gambling, including mobile sports betting, as a key reason for launching such an extensive study now. As options expand, they say, so does the need to identify risks early and make sure services keep up.

“As gambling opportunities continue to expand in New York State, we need to be proactive and determine where additional services may be needed to help those affected by gambling addiction,” said Office of Addiction Services and Supports Commissioner Dr. Chinazo Cunningham. “The results of this effort will help to inform future plans and initiatives, ensuring that New Yorkers remain protected from gambling harms, and that those impacted are able to access the services they need.”

OASAS to use findings to shape treatment and prevention

The research will also help guide planning across prevention, treatment, harm reduction, and recovery programs. OASAS already oversees inpatient and outpatient care, recovery centers, and peer support networks. Regional Problem Gambling Resource Centers provide local help, while partnerships offer financial counseling for people dealing with gambling-related debt.

Existing support systems and public awareness efforts

Public awareness has been another focus, including the state’s “Take a Pause” campaign, which encourages residents to reflect on their gambling habits and seek help when needed.

Research also highlights that certain groups, such as younger adults and students, may face elevated risks, reinforcing the need for targeted education and early intervention.

Stronger regulations and safeguards under consideration

At the policy level, oversight is also tightening. In her 2026 State of the State address, Hochul directed regulators to strengthen protections for young people and examine new tools to flag risky behavior.

That includes proposals already under discussion to curb underage betting and limit how platforms use artificial intelligence in gambling environments, as previously reported in New York’s push to curb youth online gambling.

“As we’ve seen gambling opportunities increase, so has our responsibility to ensure that those facing gambling harms have prompt access to help,” said Gaming Commission Chair Brian O’Dwyer. “This survey will help direct resources where they are needed most and help guide future gaming policymaking to ensure that New York State always prioritizes responsible gambling practices.”

Long-term study reflects growing concern over gambling impact

Lawmakers say the long-term study reflects a growing recognition that as gambling becomes more common, understanding its impact is essential. Other research has shown that gambling-related harms can affect a wide range of demographics, including older adults, underscoring the importance of long-term data collection and targeted support strategies.

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New York City’s gambling landscape shifted in a major way this week as a long-running slots venue in Queens officially transformed into the city’s first full casino with live table games.

The expanded Resorts World New York City, located near Aqueduct Racetrack and John F. Kennedy International Airport, opened Tuesday with a ceremonial dice roll and a newly built gaming floor featuring more than 200 live-dealer tables. Blackjack, craps, baccarat and roulette are now available alongside more than 2,500 slot machines already operating at the site.

The opening marks the first time traditional table games have been offered within New York City limits, a milestone for a market that had previously required gamblers to travel upstate or to neighboring states for that experience.

The Queens facility has operated for more than a decade as a “racino,” offering only slot-style video lottery terminals. Its transition to a full-scale casino follows the awarding of new downstate gaming licenses, positioning Resorts World as the first of three approved projects to begin operations. Other planned casino developments in Queens and the Bronx remain years away.

A bigger vision taking shape

Company officials say the launch is just the first phase of a much larger plan. The operator, Genting Americas East, has outlined a $5.5 billion expansion that would turn the site into a full resort destination. Plans include a hotel, additional gaming space, restaurants, a 7,000-seat entertainment venue and more than a dozen acres of public green space.

With our planned $5.5 billion expansion, this is only the beginning of something much bigger for Resorts World and for New York,” said Robert DeSalvio, president of Genting Americas East, according to the Associated Press.

NYC’s casino competition begins to take shape

The opening ceremony drew local officials and public figures, including rapper Nas, who joined executives in rolling the first dice to mark the launch.

The project arrives as New York pushes to expand legalized gambling in the downstate region. State regulators approved three casino licenses in late 2025, aiming to generate tax revenue and economic activity while bringing casino-style gaming closer to the city’s population.

For now, Resorts World has a significant head start. Competing proposals, including an $8.1 billion casino complex near Citi Field and a $4 billion development in the Bronx, are still in earlier stages and are not expected to open for several years.

Queens casino takes early lead in downstate rollout

That timing gives the Queens casino a unique window as the only full-service gaming venue in the nation’s largest city. Company leaders say more table games and slot machines will be added later this year as operations ramp up.

The debut marks a turning point for New York City, where full-scale casino gambling has long been debated but is now becoming a reality.

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A U.S. Army Special Forces soldier has pleaded not guilty to federal charges accusing him of using classified knowledge to profit on a prediction market, a case that is drawing fresh scrutiny to how insider information can be exploited in emerging betting platforms.

Gannon Ken Van Dyke, 38, entered his plea Tuesday in Manhattan federal court. Prosecutors say he used nonpublic details tied to a U.S. mission targeting Venezuelan leader Nicolás Maduro to guide bets on Polymarket, an online platform where users wager on real-world outcomes.

According to the charges, Van Dyke turned roughly $33,000 in wagers into more than $400,000 by betting on developments linked to Maduro’s removal from power. Investigators say his role in planning the operation gave him access to sensitive timelines and likely outcomes before they became public.

Case centers on classified information and betting

Federal prosecutors have brought multiple counts, including theft of government information, commodities fraud, wire fraud and unlawful financial transactions. They say the case will lean on a wide range of evidence, from cryptocurrency exchange records to social media activity and materials obtained through search warrants and subpoenas.

Authorities contend the bets were placed shortly before key developments in a covert operation carried out between late 2025 and early 2026, which ultimately led to Maduro’s capture. Van Dyke has been released on $250,000 bail with travel restrictions tied to his work and residence. A pretrial conference is set for June.

First major insider trading case in prediction markets

The case stands out because it is the first criminal prosecution centered on insider trading in prediction markets filed by the DOJ, marking a significant expansion of how U.S. authorities apply fraud and commodities laws.

These platforms, including Polymarket, allow users to trade on the likelihood of events, functioning in ways that can resemble financial markets but with looser historical oversight.

Platforms and regulators step up oversight

Polymarket itself prohibits trading based on nonpublic, market-moving information and says it monitors for suspicious activity. In this case, officials say the platform flagged the betting patterns and alerted authorities, highlighting growing industry efforts to police misuse.

At the same time, regulators are beginning to respond more aggressively. Legal experts say the case underscores that prediction markets are not exempt from insider trading rules and that existing laws can be applied to the misuse of confidential information in these environments.

Growing concerns about insider trading risks

Experts say insider trading in prediction markets works similarly to traditional financial markets: someone with advance knowledge of an event can place bets before the information becomes public, locking in profits once the outcome shifts market prices. The rapid growth and often pseudonymous nature of these platforms have made enforcement more challenging, raising concerns about potential loopholes and market integrity.

Van Dyke has not commented publicly beyond his plea. As the case moves forward, it is expected to test how existing fraud and securities-style laws apply to this fast-growing corner of online wagering.

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Federal regulators have taken Wisconsin to court, turning up the heat in a widening fight over who gets to police the fast-growing world of prediction markets.

The Commodity Futures Trading Commission filed its lawsuit just days after Wisconsin launched its own civil cases against five companies: Kalshi, Polymarket, Crypto.com, Robinhood, and Coinbase. State officials accuse those platforms of running what amount to illegal sports betting operations, describing the alleged conduct as felony violations under Wisconsin law. All five companies operate in areas the Commodity Futures Trading Commission says fall squarely within its jurisdiction.

Federal regulator pushes back on state authority

At the heart of the dispute are prediction markets, where people trade contracts tied to the outcome of real-world events. Congress handed the CFTC authority over many types of derivatives decades ago, and the agency says that mandate includes certain event-based contracts when platforms are registered as designated contract markets.

States like Wisconsin are taking a different approach. By treating these platforms as gambling operations, state regulators are trying to bring them under local law, setting up a direct collision with federal oversight.

States cannot circumvent the clear directive of Congress,” said Michael S. Selig. “Our message to Wisconsin is the same as to New York, Arizona, and others: if you interfere with the operation of federal law in regulating financial markets, we will sue you.”

Legal battle expands across multiple states

The Wisconsin case didn’t emerge in isolation. The CFTC recently filed a similar lawsuit against New York after that state pursued its own crackdown on prediction market platforms. The agency has also targeted Arizona, Connecticut and Illinois, while weighing in on related disputes through filings in higher courts, including the U.S. Court of Appeals for the Ninth Circuit and Massachusetts’ top court.

In some instances, the federal government is coordinating more broadly. The Department of Justice has joined the CFTC in backing arguments that federal law preempts state gambling statutes when it comes to regulated financial products. Those arguments could ultimately land before the U.S. Supreme Court as the number of cases grows.

What comes next for prediction markets

A recent ruling in Arizona shows how high the stakes have become. In a case brought by the CFTC, a federal judge issued a temporary restraining order that blocked a state criminal prosecution against a company overseen by the agency. The decision marked an early, but significant, victory for the federal position.

What happens in Wisconsin could shape the next phase of the fight. As prediction markets expand into new categories and attract more users, courts may have to draw clearer lines between financial regulation and gambling law. For now, the CFTC appears ready to press forward aggressively, signaling that this legal clash is far from over.

Featured image: Sasun Bughdaryan/Unsplash

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A financial reform advocacy group is urging courts to keep oversight of gambling-style online markets at the state level, arguing that a federal commodities regulator lacks both the authority and capacity to manage them.

Better Markets made its case in an amicus brief supporting Massachusetts in a growing legal dispute over prediction markets, platforms where users trade contracts based on real-world outcomes.

Prediction markets framed as gambling

According to Better Markets, these platforms operate more like gambling than traditional financial instruments and should therefore fall under state jurisdiction rather than the Commodity Futures Trading Commission (CFTC).

Dennis Kelleher, Co-founder, President, and CEO of Better Markets, sharply criticized the federal agency’s involvement, pointing to alleged misconduct on some platforms. Kelleher cited rising reports of insider trading and other abuses on platforms such as Kalshi, arguing that the CFTC is not equipped to effectively police such activity.

He described the agency as under-resourced and ill-suited to regulate what he characterized as “unregulated online casinos” attempting to bypass state gambling laws.

Massachusetts intensifies legal action

The debate comes as Massachusetts escalates its scrutiny of prediction market operators. State regulators have already secured an injunction limiting aspects of Kalshi’s operations and imposed a 30-day deadline for the company to implement geofencing to block in-state users.

Meanwhile, the Massachusetts Gaming Commission has warned that certain event-based contracts may violate state gambling laws, prompting further legal challenges, including a lawsuit from Polymarket seeking to block those restrictions.

Broader legal battle expands nationwide

The Massachusetts case is part of a wider national clash between state regulators and federal authorities. The CFTC has filed lawsuits and legal actions across multiple states to defend its claim of exclusive jurisdiction over prediction markets, setting up a conflict that could reshape how these platforms are regulated in the U.S.

Legal experts increasingly believe the issue could escalate to the highest level, with the Supreme Court potentially stepping in to resolve whether prediction markets fall under financial regulation or gambling law.

Ongoing clash between state and federal authority

Better Markets argues that Congress never intended for the CFTC to oversee gambling or act as a nationwide authority on event-based betting markets. The group also raised broader concerns about lightly regulated prediction markets, including risks of corruption, insider trading, and increased problem gambling.

At the center of the dispute are platforms like Kalshi, which operate under federal commodities law but face mounting resistance from state officials who view them as unlicensed gambling operators.

Courts to decide future of prediction markets

Better Markets maintains that states are better positioned to regulate gambling within their borders and is calling on the CFTC to refocus on its core mission of overseeing derivatives markets. The case highlights a widening national debate over whether prediction markets should be treated as financial instruments or traditional gambling, an issue now increasingly being decided in the courts.

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Alberta is moving ahead with plans to expand online gambling, a shift that is already raising concern among some First Nations leaders who rely heavily on revenue from brick-and-mortar casinos.

The province is aiming to launch its new iGaming system on July 13 after passing the iGaming Alberta Act, which establishes a framework allowing private companies to operate under provincial regulation. Officials say the goal is to bring structure to a market where a significant share of betting already takes place through offshore or unregulated platforms.

The expansion comes as global gambling operators prepare to enter the province. Companies such as DraftKings are already positioning themselves for Alberta’s opening market, viewing it as part of a broader North American push into newly regulated jurisdictions.

Concerns from First Nations over casino revenue

Despite the economic ambitions behind the plan, the proposal is drawing criticism from Indigenous leaders who warn it could undermine land-based casino revenues that support essential community programs. One First Nations chief told CBC News the province has not gone far enough to protect communities that depend on casino income.

If this goes ahead the way it is, it’s going to have a devastating impact on our communities,” the chief said.

Casinos on First Nations land play a central role in funding local services, employment, and economic development. Leaders fear that easier access to online gambling could reduce foot traffic at physical venues, cutting into a key source of revenue.

Province points to regulated growth and competition

Provincial officials argue the shift is necessary to modernize gambling regulation and capture activity already happening outside the legal system. Alberta is seeking to follow a model similar to Ontario, where multiple private operators compete under provincial oversight rather than a single government-run platform.

The broader policy shift is part of a wider strategy to expand regulated gambling markets across Canada. Alberta’s approach is also being watched as part of a growing national trend toward opening online gambling to private operators.

“This is part of economic reconciliation,” Service Alberta Minister Dale Nally said in an interview with CBC News.

“We’re not trying to take anything away from First Nations. We’re trying to grow the pie,” he added.

Under the proposed model, about 2 percent of online gambling revenue would be directed to First Nations groups, alongside funding for responsible gambling programs.

Shift mirrors broader North American policy changes

Alberta’s move also reflects broader policy changes across North America, where several jurisdictions are expanding or restructuring regulated betting markets.

For example, Wisconsin recently advanced legislation allowing expanded mobile sports betting tied to tribal gaming agreements, highlighting how governments are increasingly negotiating gambling frameworks that include Indigenous participation.

Uncertainty ahead of launch

Forecasts suggest Alberta’s online gambling market could grow rapidly once launched, potentially generating hundreds of millions of dollars annually.

Still, for First Nations leaders, the central concern remains how revenue will be divided and whether the growth of online gambling will come at the expense of existing casino operations that currently sustain many communities.

Discussions between the province and Indigenous groups are expected to continue as the July launch date approaches.

Featured image: Chris Robert/Unsplash

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A New Jersey man has gone to court with a wide-ranging class action that takes aim at a major online gaming site and several well-known entertainers, accusing them of running what he describes as an illegal gambling operation with ties to music streaming manipulation.

The case, filed in Monmouth County Superior Court, focuses on Sweepsteaks Ltd., the company behind Stake.us. The plaintiff, Jason Nufio, argues the site presents itself as a “social casino” while actually operating like a real-money gambling platform that New Jersey users are not supposed to access.

This consumer class action seeks to stop Stake.us—an illegal online gambling platform…from continuing to prey upon consumers,” the complaint states.

Nufio says he ended up spending money after seeing promotions featuring big names like Drake, Adin Ross, and DJ Akademiks. The lawsuit also names Kick Streaming Pty Ltd., describing it as a key channel used to showcase the platform.

“Gold Coins” system at the center of the dispute

At the center of the dispute is how the site handles money. Users buy virtual “Gold Coins,” which come with “Stake Cash” that can be redeemed for real-world value. The complaint claims that the setup is meant to sidestep gambling restrictions while still letting users wager and cash out.

“Thus, the use of Gold Coins is a blatant proxy for the use of real money—a fig leaf to superficially avoid the appearance of illegal gambling,” the filing states.

Allegations of manipulated outcomes are challenged

According to the lawsuit, livestreams played a major role in attracting users. It claims Drake and Adin Ross streamed themselves gambling with funds quietly supplied by the company, giving viewers the impression they were risking their own money.

This deceptive arrangement concealed the fact that Drake and Ross faced no genuine financial risk,” the complaint says, “while ordinary consumers…stood to lose real money.”

The filing goes further, alleging that outcomes were manipulated in some cases. “Stake has outright rigged its own games in favor of Drake and Ross,” it alleges.

Including information from Bloomberg Businessweek in the lawsuit is a notable wrinkle, as separate reporting highlighted by PokerScout has pushed back on claims that high-profile wins on the platform prove rigging, arguing that streaks can be explained without manipulation.

Music streaming manipulation and alleged financial networks

The lawsuit also branches into music, claiming gambling proceeds were funneled through an internal tipping system to finance bot networks that inflate streaming numbers. At the center of that accusation, the filing states: “Drake—acting directly and through…co-conspirators—has deployed automated bots and streaming farms to artificially inflate play counts of his music.”

It describes the tipping system as opaque and difficult to track, calling it “an unlimited and wholly unregulated money transmitter” that “appears to exist outside the oversight of any financial regulator.”

Broader legal scrutiny and related cases

The claims arrive as similar scrutiny grows elsewhere. A separate lawsuit filed in New York has raised concerns about underage access to gambling-style platforms, naming both Stake and Coinbase in allegations that minors were able to participate.

Plaintiff’s claims and legal relief sought

Nufio says he would have stayed away entirely if he had known what he now alleges. “Had Plaintiff known…he would not have signed up for an account or spent money on the platform,” the complaint states.

The suit seeks damages, restitution, injunctive relief, and enhanced penalties under New Jersey racketeering law. It also challenges the platform’s arbitration clause and class action waiver. None of the defendants has responded to the allegations in court so far.

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Wisconsin has filed a civil complaint in Dane County Circuit Court accusing Kalshi, Robinhood, and Coinbase, along with affiliated subsidiaries, of operating what it describes as illegal sports betting through prediction markets and event contracts under state law.

The complaint opens by reaffirming the state’s gambling restrictions, stating: “Sports betting has long been illegal in Wisconsin, with exceptions only for certain Native American tribal gaming operations.”

It further alleges coordinated conduct among the companies: “Yet three companies—Kalshi, Robinhood, and Coinbase—are working together to facilitate illegal sports betting throughout the state.”

State alleges disguised sports wagering through “event contracts”

Wisconsin argues the platforms are effectively enabling sports wagering while rebranding it as financial trading. The complaint states: “Through their so-called ‘prediction markets,’ Kalshi, Robinhood, and Coinbase profit from Wisconsin residents placing bets on the outcome of sporting events, just like how ordinary casino sportsbooks profit from the bets people make there.”

The filing contends that the underlying structure mirrors traditional gambling products despite its financial-market framing.

College basketball betting used as key example

As part of its argument, Wisconsin cites specific examples from college athletics betting activity. The complaint notes:

For instance, Wisconsinites could use these companies’ services to place all kinds of bets on the recent NCAA college basketball tournament, including who would win the Final Four matchup between the University of Michigan and the University of Arizona, which team would cover the point spread, and even which team would first score ten points.”

The state argues these offerings demonstrate that the platforms are functionally indistinguishable from sportsbook-style wagering.

Allegation of “casino-style” mechanics behind trading language

The complaint also focuses on how the platforms generate revenue, stating: “And for every bet made, these companies collect a fee akin to a casino’s rake at a poker table.”

Wisconsin argues that this fee structure reinforces its claim that the companies are operating gambling services rather than neutral financial marketplaces.

The filing further claims the companies use financial terminology to mask gambling mechanics. It states: “Kalshi, Robinhood, and Coinbase use a fig leaf to disguise the casino-style sports betting they facilitate in Wisconsin.”

“They relabel their sports bets as ‘event contracts,’ meaning contracts traded between buyers and sellers at agreed-upon prices that mimic the odds of a sports-related outcome.”

Pricing structure tied to implied probabilities

Wisconsin also details how contract pricing reflects real-time probability estimates.

“As of April 3, 2026, traders could buy contracts taking the position that the University of Michigan would win its Final Four matchup with the University of Arizona for around $0.53, which reflected a roughly 53% projected chance of Michigan winning.”

It adds that payouts function in binary fashion: winning positions pay $1 per contract, while losing positions expire worthless, mirroring traditional betting outcomes.

Broader legal pressure on prediction markets

Separately, prediction market operators are facing increasing regulatory scrutiny across multiple jurisdictions. In New York, regulators and prosecutors have pursued actions involving Coinbase and Gemini over compliance and consumer protection concerns tied to trading products.

Kalshi is also engaged in ongoing litigation, including an injunction request in Montana seeking to block state-level restrictions on its contracts, while an Arizona court is handling procedural disputes in a separate challenge involving the classification of event contracts.

Wisconsin seeks injunction and legal classification

Wisconsin is asking the court to halt the companies from offering sports-related event contracts within the state, declare the activity unlawful under gambling statutes, and classify it as a public nuisance requiring immediate relief.

Featured image: Kenneth C. Zirkel, CC BY-SA 4.0 https://creativecommons.org/licenses/by-sa/4.0, via Wikimedia Commons

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Federal prosecutors in Manhattan have accused a U.S. Army soldier of turning secret military knowledge into a lucrative betting scheme, saying he pocketed more than $400,000 by wagering on a classified operation.

According to court filings, Van Dyke was stationed at Fort Bragg and had access to classified planning materials related to the operation, which aimed to capture Maduro. He had signed agreements explicitly barring him from disclosing or using that information.

Bets on Maduro’s capture

Prosecutors say he created a Polymarket account in late December 2025 and placed around 13 bets. Each wager backed outcomes tied to U.S. military involvement in Venezuela and Maduro’s removal from power. In total, authorities say he staked about $33,000, consistently betting “YES” on those scenarios.

Events unfolded quickly. In the early hours of Jan. 3, 2026, U.S. special forces captured Maduro in Caracas. Once the operation became public, the prediction markets resolved in Van Dyke’s favor, bringing him roughly $409,881, according to prosecutors.

Prosecutors: “Clear Insider Trading”

Prediction markets are not a haven for using misappropriated confidential or classified information for personal gain,” Clayton said, calling the alleged conduct a direct breach of federal trust and national security obligations.

Prosecutors argue that Van Dyke’s actions meet the definition of insider trading in substance, if not in traditional market form, because they relied on nonpublic military intelligence to generate profit. They say the trades were not based on analysis or speculation, but on advance knowledge of a real-world classified operation’s timing and outcome.

Alleged attempts to conceal funds

According to court filings, Van Dyke allegedly took steps to obscure the source and movement of his winnings shortly after the operation became public. Prosecutors say he transferred funds through cryptocurrency channels designed to mask transaction history, including routing assets through a foreign-based digital wallet service before moving them into a brokerage account.

Authorities also allege he attempted to delete or deactivate his Polymarket account and modified related crypto account details in an effort to disrupt the financial trail.

Blanche underscored the government’s position on misuse of classified access, stating that service members are entrusted with sensitive intelligence solely to execute missions, not to derive personal financial benefit from it.

Growing Scrutiny of Prediction Markets

The case arrives amid increasing scrutiny of prediction markets and event-based trading platforms. Regulators and lawmakers have raised concerns about insider access to politically or militarily sensitive information being used for profit.

In a separate case, political candidates have also faced penalties tied to trading on election-related contracts, underscoring broader concerns about market integrity.

FBI, DOJ response and potential sentencing

“Today’s announcement makes clear no one is above the law,” Patel said, adding that the FBI would act to protect national security and classified information.

If convicted, Van Dyke faces up to 20 years in prison on the wire fraud count, along with additional penalties on related charges. Prosecutors say sentencing would ultimately be determined by a judge.

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Caesars Entertainment is now facing a proposed federal class action that says the casino and hotel company failed to protect customer information during a second cyber incident, coming after its widely reported 2023 breach.

The case was filed in Nevada on behalf of plaintiff Mark Huddleston, a Texas resident who says he has belonged to Caesars Rewards since 2007 and has regularly gambled with Caesars both online and in person. He says Caesars gathered personal information through those transactions and loyalty program activity over many years.

Huddleston is seeking to hold Caesars responsible for injuries allegedly caused by “Caesars’s inadequate data security,” which the complaint says resulted in private information being exposed to unauthorized third parties. The filing refers to the incident as the “Data Breach.”

According to the lawsuit, reviewed by ReadWrite, Caesars had already experienced a data breach in September 2023. It alleges that despite that earlier event, the company “failed to implement the requisite security measures, and failed to prevent another Data Breach from occurring in early 2026.”

The complaint says customer data was again taken by cybercriminals, leaving proposed class members exposed to “an elevated and significant risk of fraud and identity theft.”

Caesars alleged data breach puts privacy promises under scrutiny

The suit says information affected in the 2026 incident included at least customer contact details and dates of birth. It adds that based on what was exposed in 2023, “it can be expected that even more sensitive information, including Social Security numbers and driver’s license numbers were also stolen in 2026.”

The complaint also points to Caesars’ privacy policy, which states: “We maintain physical, electronic and organizational safeguards that reasonably and appropriately protect against the loss, misuse and alteration of the information under our control.”

Huddleston argues those promises were misleading. The lawsuit says Caesars “did not ‘maintain physical, electronic and organizational safeguards that reasonably and appropriately protect against the loss, misuse and alteration of the information under our control.’”

It further claims customers still face long-term consequences because their information may remain in circulation. The filing says class members now face “a present and continuing risk of fraud and identity theft for years to come.”

The proposed nationwide class would include “All persons in the United States whose Private Information was compromised in the Caesars’s Data Breach discovered in March, 2026.”

Claims in the case include negligence, breach of implied contract, unjust enrichment, negligence per se, and alleged violations of the Nevada Consumer Fraud Act. The suit seeks damages, credit monitoring, identity theft protection services, and court-ordered security improvements.The Caesars case arrives as other gambling operators face similar scrutiny. ReadWrite recently reported the litigation tied to alleged Wynn Resorts data breaches, including a separate federal class action. We also found that German gambling company Merkur was hit by a major cyberattack.

ReadWrite has reached out to Caesars Entertainment for comment.

Featured image: Bernard Spragg via Flickr / CC0 1.0

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Sportradar pushed back hard Wednesday after a short-selling firm accused the company of having meaningful links to unlawful betting sites.

“A short report issued today contains factual inaccuracies about the company, and we unequivocally challenge these assertions,” a Sportradar spokesperson told ReadWrite.

The company said the report misread both its operations and the wider betting market.

The spokesperson added: “The report demonstrates a fundamental misunderstanding of our business and the industry and was authored by a short seller trying to erode shareholder value and profit from stock disruption.”

Callisto Research published the report and disclosed that it held a short position in Sportradar shares. It says Sportradar’s image as a sports integrity specialist conflicts with allegations that some websites using its tools or feeds operate unlawfully.

Callisto said it found “over 270 individual platforms” that it says use Sportradar products or services while operating illegally in regulated or prohibited markets. It also alleged that some lacked licences and that certain regulators had started reviews.

ReadWrite has not independently verified those allegations.

Sportradar compliance questions and short seller market reaction to alleged illegal betting

Sportradar answered by pointing to its controls, licensing checks and public disclosures.

“Sportradar works exclusively with licensed operators, follows strict global compliance, and due diligence standards, and we stand by our independently audited financial statements, risk disclosures, and information provided to investors and regulators,” the spokesperson said.

The company also stressed its internal standards.

The company added: “We conduct our business with the highest ethical standards consistent with company policies, laws and regulations.”

The Callisto document focuses on examples where Sportradar widgets, virtual sports products, backend tools or branding allegedly appeared on sites aimed at places where gambling is limited or banned. Separate appendices released with research materials from Muddy Waters Research describe technical methods used to identify what the authors said were customer integrations. These included reviews of client IDs, widget loaders and licensing endpoints.

Even so, code snippets, branding elements, old references or third-party integrations on external websites do not automatically prove a current commercial relationship. They also do not by themselves establish knowledge, misconduct or a regulatory breach by Sportradar.

Short-seller reports are written by investors who benefit if a company’s share price drops. That does not mean every claim lacks merit, but it does mean the research comes from an interested party. Such reports commonly include disclaimers stating they are not investment advice. At the time of writing, Sportradar stock was down 23% ahead of reporting its first quarter results on May 6.

Sportradar sells sports data, integrity monitoring and betting technology to leagues, bookmakers and media groups around the world. Because the company has long promoted anti-match-fixing work and regulatory compliance, any prolonged scrutiny of those claims could draw investor attention even while management firmly rejects the accusations.

As of publication, no regulator had publicly announced enforcement action against Sportradar tied to the specific allegations in the report.

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New York Gov. Kathy Hochul has signed an executive order blocking state workers from using confidential government information to make money on prediction markets, calling the practice a threat to public trust.

The order was signed on Wednesday (April 22) in Albany and took effect immediately. It applies to covered state officers and employees. They are barred from using “any nonpublic information obtained in the course of their official duties” to seek gains or avoid losses through trades on prediction market platforms. They also cannot help other people profit by passing along inside information.

Violations can bring dismissal, other discipline, and possible referrals to law enforcement or ethics agencies.

“Getting rich by betting on inside information is corruption, plain and simple,” Hochul said in the state’s announcement. “Our actions will ensure that public servants work for the people they represent, not their own personal enrichment.”

Prediction markets let users buy and sell contracts based on whether future events happen. The governor’s office said those events can include “outcomes of military activity, election results, or the severity of natural disasters,” along with “obscure and manipulable events” such as “the attire of public officials at appearances” or “the volume of social media posts made by an individual.”

How the Hochul insider trading order reaches prediction markets

The executive order says ethics rules need to keep pace with newer trading platforms. It states that “the maintenance of public trust is founded on the principle that public servants are charged with using their positions to benefit the public good,” and that officials should not use access to government information “for personal financial gain.”

It also says the “recent proliferation of prediction markets” has raised the risk that people with privileged knowledge may try to profit by “trading on insider information.”

Each public authority in New York is directed to adopt matching policies for officers and employees who serve at the pleasure of the appointing authority. The order defines a prediction market as an exchange-traded platform or service not licensed or permitted by the New York State Gaming Commission, where participants trade contracts tied to future events including elections, sports, economic indicators, or the actions and speech of individuals.

The move lands as prediction markets face heavier scrutiny across the country. We previously reported the controversy around a Polymarket contract tied to Venezuelan leader Nicolás Maduro, where questions were raised about settlement decisions and whether insiders could benefit from opaque processes.

In a video statement posted on X, Hochul pointed to what she called “really suspicious bets with huge payoffs” including the Polymarket contract tied to Venezuelan leader Nicolás Maduro, markets on the timing and location of military actions in Iran, and even bets on the length of White House press briefings. She said insider trading in stocks has long been illegal, but argued similar conduct on prediction markets can happen with “zero consequences.”

She also drew a contrast with Washington, saying, “some in Washington think this is fair, but here in New York, we say no.”

The state has also been aggressive in policing other financial platforms. State regulators have pursued major crypto companies including Coinbase and Gemini in separate legal actions centered on compliance, disclosures, and consumer protections.

At the same time, state Sen. Joseph Addabbo Jr. has pushed legislation that would create a regulated path for prediction markets in New York, arguing oversight is better than leaving the activity offshore or unlicensed.

Hochul’s office said the order comes amid “increasing public scrutiny over the role of prediction markets and the need for further regulations of this emerging industry.” It also said New York is taking steps against platforms that engage in “unlicensed and unlawful gambling operations.”

Featured image: Marc A. Hermann / MTA / CC BY 2.0 / Canva

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Prediction-market exchange Kalshi has publicly identified three political candidates it says violated rules that bar traders from betting on contests they can influence. Their names appeared in formal enforcement notices after the company first announced the cases without identifying anyone.

Kalshi earlier published a company update titled “Enforcement update: Kalshi continues crackdown on political insider trading,” saying three investigations had been completed. The company wrote: “Today, we’re releasing notices related to three enforcement investigations.” It added that “All three cases concern political insider trading and were flagged because of our newly released safeguards to block political candidates from trading on their own elections.”

It described the punishments but did not name the people involved. Public disciplinary records linked to the update identified them as Matt Klein, Mark Moran, and Ezekiel Enriquez. 

Who are the alleged election candidates penalized by Kalshi?

Prediction markets appear to be pushing deeper into the worlds of politics and sport, raising urgent questions about whether they can truly guard against insider advantage. Critics warn that when candidates, campaign operatives, donors, or others with privileged access are allowed to trade on election-linked contracts, the integrity of those markets is immediately called into question.

Kalshi, for its part, says it is tightening the net. The company has stated stronger restrictions on politicians and athletes, increased automated surveillance, and improved reviews designed to identify conflicts before they can distort the market, following another two insider trading cases.

The company said the three matters showed how internal controls can identify improper activity. In its update, Kalshi said the cases demonstrated how “developing proactive engineering solutions can help identify illicit trading activity.”

Kalshi has also argued that prediction markets can function as information tools rather than gambling products. However, it depends heavily on confidence that insiders cannot profit from private knowledge or direct control over outcomes.

The three candidate cases

In the first matter, a settlement notice said Klein had “announced himself as a candidate for public office and was added as a market option for a contract on [election].” The notice continued: “As a candidate, Klein qualified as a direct decision maker for the contract and had direct influence on the outcome of the Underlying event.”

Kalshi said Klein then traded “in violation of Rule 5.17(z),” which prohibits users from trading on markets where they are a decision-maker or have influence over the outcome.

Under the settlement, Kalshi suspended Klein from direct or indirect access to the platform for five years and imposed a $539.85 financial penalty.

Klein is a Democratic Minnesota state senator and reported he admitted making a $50 wager. In a statement on X, Klein wrote: “In October 2025 I heard from friends that there was a prediction market site with wagers on my primary race. I had never wagered on a predictions market previously. I was curious about how it worked. I set up an account and bet $50 of my own funds that I would win the primary. 

!I was informed in March of 2026 that this was a violation of the platform rules. In compliance with their request, I paid a penalty and agreed to be suspended from the platform. That was the only wager I have ever made on a predictions market. This was a mistake, and I apologize.”

The second case involved Mark Moran. Kalshi alleged that “in November 2025, Moran was listed as a strike for the market ‘Who will run for public office this year?’” and that he “placed ten orders in this market on November 13 and 14, 2025.”

The notice said Moran later announced his candidacy for the Democratic primary for U.S. Senate in Virginia and was then added to another market, “Virginia Democratic Senate nominee?”

Kalshi further found that “on January 27, 2026, Moran placed two trades in this market and then promoted the market generally on social media.”

According to the company, Moran admitted the issue during a call. The notice states: “Moran acknowledged that these trades were improper and in violation of the Kalshi exchange rules.” It also said he later “repeatedly refused to resolve this matter via settlement and stopped responding to further correspondence.”

Kalshi imposed a five-year suspension and “a penalty of $6,229.30, plus disgorgement of any profits that resulted from the trading connected to this action.”

On X, Moran posted a video saying he intentionally placed a $100 wager to draw attention to the platform, and seemed to be less apologetic.

The third matter involved Ezekiel Enriquez. Kalshi said Enriquez “announced himself as a candidate for public office and was added as a market option for a contract on the Texas Republican primary election for Texas’s 21st Congressional District.”

The notice continued: “As a candidate, Enriquez qualified as a direct decision maker for the contract and had direct influence on the outcome of the Underlying event.”

Kalshi said the settlement established that Enriquez “purchased less than $100 worth of contracts related to his own candidacy, in violation of Rule 5.17(z).”

He received a five-year suspension and a $784.20 fine.

Increasing pressure on safeguards

All three actions cite the same rule. Kalshi Rule 5.17(z) states: “If a Trader is a decision maker, either directly or indirectly, or has any influence, directly or indirectly, no matter the scale and importance of the influence, on the outcome of the Underlying (event) of any Contract, that Trader is prohibited from attempting to enter into any trade, either directly or indirectly, on the market in such Contracts.”

Regulators and market skeptics have long questioned whether exchanges can detect conflicted traders quickly enough.

Featured image: Zeke4Texas on Instagram / Mark Moran via X / Dr. Matt Klein via X / Kalshi

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A federal appeals court has given the Comanche Nation a mixed but meaningful win in its fight over the Warm Springs Casino run by the Fort Sill Apache Tribe near Lawton, Oklahoma.

In a decision filed Tuesday (April 21), the U.S. Court of Appeals for the Tenth Circuit said part of the lawsuit can keep moving even after arguments that tribal sovereign immunity should block the case. Judges said the Comanche Nation may continue claims under the Indian Gaming Regulatory Act, known as IGRA, against Fort Sill Apache officials sued in their official roles.

The dispute began after Warm Springs Casino opened in 2022. According to the ruling, the Comanche Nation runs nearby gaming properties and claimed that “The resulting competition made the Nation’s casinos less profitable.”

The Nation asked the court to stop casino operations and award damages. The opinion says the Nation alleged the casino “was opened in violation of federal law.”

Writing for the three-judge panel, Circuit Judge Timothy Tymkovich said the court would “affirm in part and reverse in part.”

Why the Warm Springs Casino ruling supporting the Comanche Nation matters

The panel said “the Indian Gaming Regulatory Act (IGRA) abrogates the Tribe’s sovereign immunity defense, so the Nation can proceed with its official-capacity claims under IGRA.”

It keeps alive the central argument that Warm Springs Casino may be operating outside the Fort Sill Apache Tribe’s gaming compact with Oklahoma. The Comanche Nation contends the casino sits on land that does not qualify as Fort Sill Apache land under that compact.

Judges said the complaint alleges the Tsalote Allotment remains Kiowa land, not Fort Sill Apache land. At this stage, the court said it had to accept properly pleaded allegations as true.

The ruling also said the claim fits a federal provision allowing suits “initiated by a State or Indian tribe to enjoin a class III gaming activity located on Indian lands and conducted in violation of any Tribal-State compact.”

But the Comanche Nation did not win across the board. The judges rejected official-capacity racketeering claims under RICO that sought injunctions and declarations. The panel said the Ex Parte Young exception could not be used here because the complaint did not tie the named officials to ongoing casino operations.

As the panel put it, “Ex Parte Young does not help the Nation because its claims are not against officials charged with operating the casino.”

The court separately allowed individual-capacity RICO damages claims to continue, saying those claims target officials personally rather than the tribe itself. Because of that, judges wrote, “they cannot raise the Tribe’s sovereign immunity.”

The panel did not decide whether those officials might later assert qualified immunity.

The case now returns to the U.S. District Court for the Western District of Oklahoma. The decision lands amid wider tribal gaming battles, including a temporary casino deal involving Yocha Dehe, Vallejo, and Scotts Valley in California, and a paused northern California tribal casino lawsuit.

Featured image: Google Maps

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MGM Resorts International said Tuesday (April 21) it finished the sale of the operating business at MGM Northfield Park, wrapping up a $546 million all-cash transaction that hands control of the Ohio property to funds managed by Clairvest Group Inc.

The company announced the closing from Las Vegas and framed the move as another step in reshaping its holdings while unlocking money for other priorities. The sale had been expected and now formally removes the racino from MGM’s operating lineup.

Executives said the Northfield Park property had become a leading venue in its region and credited employees for sustaining performance in a competitive market.

“MGM Northfield Park is a market-leading property supported by a talented team that has consistently delivered outstanding guest experiences,” said Bill Hornbuckle, CEO & President, MGM Resorts International. 

“The property has a strong foundation, and we extend our best wishes to the team and new ownership for continued success in the next chapter of the property’s evolution.”

The transaction also changes MGM’s lease structure with VICI Properties Inc. MGM said its master lease, which previously included MGM Northfield Park, was amended at closing and will lower annual rent by $53 million.

After taxes and deal expenses, MGM expects to receive about $420 million in net cash proceeds. That gives the company additional flexibility as it weighs investments, debt management, and shareholder returns.

Chief Financial Officer Jonathan Halkyard said the sale showcases the strength of MGM’s operating assets while allowing the company to move on from a property it no longer views as core to long-term plans.

“The closing of this transaction underscores the value of MGM’s high-quality operations and provides an opportunity to divest a non-strategic regional asset at a significantly higher multiple than currently ascribed to our premium portfolio,” said Jonathan Halkyard, CFO, MGM Resorts International. “The proceeds will be deployed in line with our priorities of maintaining a strong balance sheet, selectively investing in growth opportunities, and returning capital to shareholders.”

MGM said Northfield Park produced roughly $142 million in adjusted EBITDAR for the year ended Dec. 31, 2025. The company noted that adjusted EBITDAR is a non-GAAP financial measure often used in gaming and hospitality to compare property-level performance.

Advisers on the sale included Jefferies LLC and SMBC Nikko Securities America, Inc. Legal counsel was provided by Weil, Gotshal & Manges LLP.

Northfield Park sale gives MGM more room for capital plans

The completed transaction adds liquidity while MGM continues to concentrate on larger resort destinations and digital gaming interests. The company has repeatedly said it wants to focus capital where returns can be strongest.

MGM Resorts operates casino and hotel properties across the United States and in international markets. It also holds online sports betting and iGaming interests through BetMGM and related brands, while pursuing a major integrated resort project in Japan as part of its Asia growth strategy.

Featured image: MGM Resorts via Facebook

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Resorts World New York City says it plans to open New York City’s first live table games casino on April 28, bringing blackjack, craps, baccarat and roulette to Queens in a major expansion beside Aqueduct Racetrack.

The start still depends on final testing by the New York Gaming Commission this week. If regulators sign off, the property says it will become the first place in the five boroughs to run live dealer table games.

A rebuilt third floor is set to debut with more than 240 tables and over 1,500 gaming positions spread across blackjack, craps, baccarat and roulette. Guests will also find more than 2,500 slot machines on opening day. The company says thousands of additional machines are expected later in 2026.

“New York City has never seen anything like what we’re planning for April 28. Once the Gaming Commission’s final testing is complete, live table games will be open and operating right here in Queens for the first time in the history of New York City. We are ready to welcome New Yorkers to this exciting new experience,” said Robert DeSalvio, President of Genting Americas East. 

“Resorts World now employees over 2,200 Team Members and have already doubled our workforce and expect thousands more Team Members as the integrated resort is developed over the next three years. This is a transformational moment for Resorts World New York City, and we cannot wait to share it with our fellow New Yorkers.”

Resorts World Queens casino hiring ramped up ahead of live tables opening

Ahead of the launch, Resorts World says it added 1,250 jobs, including 950 new table-game dealers. Most of those hires completed orientation during several sessions this week.

The company says its workforce now stands at about 2,200 people and could climb past 2,700 by summer as operations grow.

Executives also pointed out a local training pipeline. Resorts World says its Introduction to Gaming program began in 2022 and has trained more than 350 residents for gaming careers. It also says the Resorts World Dealer School has already trained and hired more than 400 local residents in Queens, with another 500 graduates expected by May.

A formal opening ceremony is scheduled for Tuesday, April 28, at 9:30 a.m. with plans calling for a ribbon-cutting and a ceremonial first roll of the dice.

The company says Genting Chairman KT Lim and NAS are expected to attend alongside elected officials, community leaders and other guests.

The property at 110-00 Rockaway Blvd. in Jamaica says it remains the city’s only casino-hotel and has generated nearly $5 billion for New York public education since 2011. It also includes the 400-room Hyatt Regency JFK Airport at Resorts World New York City, which opened in 2021.

The expansion arrives as New York moves toward awarding three downstate casino licenses. Resorts World has submitted a reported $5.5 billion proposal to redevelop the site into a larger integrated resort, and its community advisory committee recently advanced the bid to the next stage.

Featured: Whitmore Studios / Resorts World

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New York Attorney General Letitia James has opened what may become one of the biggest state fights yet over prediction markets, suing Coinbase and Gemini and accusing both companies of running illegal online gambling operations. The paired cases were filed in New York Supreme Court and ask judges for heavy financial penalties that could ripple across a fast-growing corner of crypto finance.

State lawyers say residents were allowed to stake money on sports, elections, and entertainment results without the gaming licenses New York requires for legal wagering. In the attorney general’s view, calling those products market contracts does not change what they are.

James said the companies cannot sidestep gambling law by changing labels, and that “New Yorkers deserve the protections that come with legal, regulated gaming.” Her office said it wants the court to force both firms to surrender profits, compensate consumers, and “pay fines equal to three times the profits the companies made through their illegal actions.”

The filings also ask for permanent court orders stopping the businesses from continuing in New York.

New York AG launches sweeping state investigation against Coinbase and Gemini

The complaints address how much direct testing state investigators say they carried out themselves. According to the filings, investigators placed about 22,000 bets on Coinbase and another 12,000 bets on Gemini over roughly two and a half months.

The complaints indicate investigators tracked how accounts were opened, how wagers were entered, what fees were charged, and how payouts moved back to users.

The timing matters because New York already runs one of the country’s most tightly controlled sports betting systems. Licensed mobile sportsbooks operate under strict rules, identity checks, and tax rates that have produced more than $1 billion a year for the state. Officials argue prediction markets cut around that structure while avoiding the same safeguards.

James has recently tied the spread of prediction markets to concerns often raised about sports betting expansion, especially risks for young men and vulnerable consumers. State Sen. Joseph Addabbo Jr., a key Albany voice on gaming issues, previously told ReadWrite that federally regulated event-contract platforms may be pushing into territory traditionally overseen by states.

The allegations against Gemini Titan and Coinbase

The Gemini complaint says Gemini Titan LLC rolled out Gemini Predictions in December 2025 and made the product available across the country, including New York. Prosecutors cite Gemini’s own statement that it was “now live across all 50 U.S. states.”

State lawyers say users could take positions on outcomes ranging from the Super Bowl to college basketball and reality television, including “Survivor Season 50.”

The petition argues Gemini “seeks to avoid the legal and financial consequences of New York’s close regulation of gambling by offering what is quintessentially wagering under the guise of offering ‘event contracts’ on a ‘prediction market.’” The state also claims the platform allowed users between ages 18 and 21 to participate, despite New York restricting sports wagering to those 21 and older.

The Coinbase case follows the same blueprint. Prosecutors say Coinbase entered the prediction market business in December 2025 and later said its products were “live in all 50 states.”

According to the complaint, users could wager on whether the New York Knicks would cover a point spread, who would win the Super Bowl, and college basketball games involving New York schools such as St. John’s.

The state also points to promotional marketing, including a “$1,000,000 Bitcoin prize pool” linked to correct Super Bowl picks.

Legal analyst Daniel Wallach said the lawsuits may mark the first time a U.S. law enforcement agency has accused a prediction market operator of violating the federal Wire Act through sports-event contracts offered across state lines.

The claim appears in both cases. New York argues the companies used interstate communications systems to transmit bets or information that helped wagers. The state included that federal angle because New York courts have previously said violations of federal law can qualify as illegality under Executive Law § 63(12), the statute James is using here.

Wallach noted that a 1999 New York decision, People v. World Interactive Gaming, recognized alleged Wire Act violations within that framework.

What the cases could change

Another eyebrow-raising feature of the Gemini matter is who is handling it. The lead attorneys named for the attorney general’s office are Brent Tomer and Alejandra de Urioste, both former trial lawyers at the Commodity Futures Trading Commission.

They previously helped lead the CFTC’s 2022 enforcement case against Gemini, which later ended in a $5 million settlement. After layoffs at the federal agency, they joined the New York attorney general’s office.

Their presence adds technical experience because the CFTC is the federal regulator most associated with derivatives markets and event contracts. This could matter if the defense argues these products belong under federal commodities law rather than state gambling law.

Wallach also said the Coinbase and Gemini filings may signal future pressure on Kalshi, the federally regulated exchange that has become central to the national fight over sports-event contracts.

He said New York may have held off because of pending litigation involving a request for a preliminary injunction. Once that issue is resolved, he said, pressure on Kalshi could rise, creating a domino effect.

Featured image: Gemini Titan / Coinbase / Pexels

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Kalshi went to federal court in Montana on Tuesday (April 21), asking a judge to stop state officials from using gambling laws against its federally regulated prediction market. The company says Montana is trying to shut down trading activity that falls under the sole authority of the U.S. Commodity Futures Trading Commission.

The filing seeks a preliminary injunction in the U.S. District Court for the District of Montana. On the same day, Kalshi also filed an unopposed request to pause case deadlines while both sides continue discussions. Defendants include Attorney General Austin Knudsen, the Montana Gambling Control Division, and other state officials.

Kalshi told the court state officials are “unconstitutionally threatening to prohibit trading on Kalshi’s federally designated contract market,” even though its contracts are “federally authorized” and Congress granted the CFTC “exclusive jurisdiction” over designated contract markets.

Kalshi runs a federally licensed exchange offering event contracts. The contracts let users trade on whether future events will happen, from economic data to elections and sports outcomes. The company argues those products are derivatives governed by federal commodities law, not sports wagers or gambling products controlled separately by each state.

According to the complaint, Montana regulators decided Kalshi’s offerings in the state “constitute illegal gambling” under Montana law and ordered the company to stop offering contracts to residents. The state warned that it “expect[ed]” Kalshi to “voluntarily comply” and that “[r]efusal to do so will result in legal action against Kalshi.”

Why Kalshi is asking for a preliminary injunction against Montana

Kalshi said Montana had previously agreed to a standstill in April 2025. Under that deal, the Gambling Control Division said it would “not initiate any civil or criminal enforcement against Kalshi during the pendency of” related Nevada litigation and would “defer any enforcement pending the outcome of the proceedings before Chief Judge Gordon in Nevada and any appeal to the Ninth Circuit.”

The company says those Nevada proceedings were still active when Montana sent a new cease-and-desist letter dated April 6, 2026. Kalshi says it received that letter on April 11, asked officials for clarification, but “received no response and filed the Complaint.”

In its latest brief, Kalshi argued Congress built a national framework for exchanges like its own, and letting states block trading one by one would break that system. The company cited legislative history saying that “different State laws would just lead to total chaos.”

The Montana case follows similar fights around the country. Kalshi has recently pointed to favorable rulings in New Jersey, Arizona, and Tennessee, where judges found the company was likely to succeed on arguments that federal commodities law preempts state gaming enforcement. It has also sued Iowa while challenging similar state actions elsewhere.

Kalshi says immediate relief is needed because Montana’s newest letter creates an “imminent threat” of enforcement. It asked the court to stop officials from enforcing Montana gambling statutes or “any other Montana law that attempts to regulate Kalshi’s exchange” while the lawsuit moves ahead.

Featured image: Kalshi / Canva

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Germany’s gambling regulator says it has intensified action against rapper Capital Bra after what it describes as repeated promotion of illegal online gambling across his social media accounts.

The Joint Gambling Authority of the Länder, or GGL, said on Monday (April 20) that an ongoing case centers on videos and livestreams in which the artist allegedly showed himself using unauthorized gambling services while encouraging followers to engage with them. The news comes after reports that he was rushed to the hospital the same day following an alleged drug overdose.

According to the authority, videos remained available on his channels after the streams ended, while banner advertising for related sites continued to appear. Regulators also allege he ran a comparison website that directed users toward illegal gambling providers.

German law bars advertising for illegal gambling under Section 5, paragraph 7 of the 2021 State Treaty on Gambling. The GGL says showing participation in unlawful gambling can itself function as marketing because it normalizes the activity and drives traffic.

How the illegal gambling crackdown grew against Capital Bra

The authority said it first opened proceedings in October 2025 over suspected illegal gambling advertising. It says a hearing notice received no response. A prohibition order followed, including the threat of a coercive fine, and regulators say that order also went unanswered.

The GGL then set a coercive penalty of 250,000 euros ($294,000). With assistance from West Hesse police, officials served the notice during one of the rapper’s club concerts in Wiesbaden last weekend.

“We are not deterred even by well-known names. Anyone who promotes illegal gambling must expect decisive regulatory action,” Ronald Benter, executive board member of the GGL, said in the statement.

The regulator says cases involving celebrities and influencers can be harder to enforce when individuals are difficult to contact or documents cannot be served easily. Even so, it says it will keep using available legal tools and police cooperation when needed.

Germany has recently warned consumers about newer forms of illegal social betting that can spread quickly online through community-style platforms and creator promotion. Officials say those offers may appear harmless or game-like while still exposing users to unlicensed gambling risks.

There has been increasing scrutiny of celebrity-linked gambling promotion internationally. Recent reporting has examined claims around high-profile streaming losses involving Drake and Stake, raising questions about whether sponsored personalities gamble with their own funds or promotional balances.

Elsewhere in Europe, regulators have also stepped up enforcement. Finnish authorities recently moved against two influencers over gambling marketing tied to possible fines of 30,000 euros, while the Dutch gambling authority took action involving influencer LeftLanePapi over illegal gambling promotion.

The GGL says its campaign is meant to protect consumers from sites outside state supervision. It warns those operators may lack player safeguards and can expose users to addiction, manipulated game presentations, and serious financial losses.

Featured image: Stefan Brending / CC-BY-SA-3.0 de

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A former finance manager for the Fresno Arts Council has pleaded guilty after federal prosecutors accused her of siphoning more than $1.8 million from the nonprofit, and spending part of the money to gamble at local casinos, pay for vacations, and cover other personal expenses.

Suliana Caldwell, 46, of Fresno, admitted one count of wire fraud in federal court, the U.S. Attorney’s Office for the Eastern District of California said. Prosecutors contend the losses mounted while she controlled key accounts and handled internal financial reporting.

According to court records, Caldwell worked as the council’s operations manager from 2021 until February 2026. The position gave her authority over bank accounts, payroll, grants, donations and other day-to-day finances.

She also assembled financial updates that were shared with the executive director, board members and local government officials.

Investigators say the theft started in 2022, when Caldwell began making “unauthorized transfers from the FAC’s bank accounts to her own personal PayPal and to her bank accounts.”

Prosecutors said the amounts grew sharply the following year after new public money reached the organization. The plea agreement says those transfers “increased significantly in 2023” after the council began receiving Measure P funds.

Measure P is a voter-approved Fresno tax measure that supports parks, trails, arts programming and other community projects. Federal prosecutors said the Fresno Arts Council received $9.4 million in August 2023, followed by another $5.7 million in October 2024.

How Fresno Arts Council manager hid money used for gambling and personal expenses

Federal prosecutors said Caldwell used a position of trust to keep the scheme from being detected. According to the plea agreement, she “altered and misreported the financial figures in the reports to make the reports appear as though no unauthorized transfers were occurring.”

They were then provided to council leaders and public officials as if they were accurate, prosecutors said.

The filing says that between June 2022 and February 2026, Caldwell took more than $1.8 million. It adds: “She then used the funds to gamble at local casinos, pay for vacations, and for other improper personal expenses.”

Investigators said Caldwell later met with the Fresno Police Department and the FBI on March 26, 2026. During that interview, authorities said, she confessed and described the organization’s financial procedures during her time there. Caldwell’s defense attorney, Kevin Rooney, told reporters outside the court: “Ms Caldwell had some emotional problems, alcohol problems, all of it spiralled into a gambling addiction.

“Ms Caldwell’s extremely distraught about what she’s done. It’s impacted her family; it’s impacted the Fresno Arts Council.”

When asked about the artists impacted by the theft, Rooney added, “I can’t speak exactly to what Ms. Caldwell would say. She’s very upset. It’s just unfortunate all around for the artists, for the community, for Ms Caldwell, for her family.”

The FBI and Fresno Police Department are investigating the case. Assistant U.S. Attorneys Cody S. Chapple and Joseph D. Barton are leading the prosecution.

Caldwell is scheduled to be sentenced before U.S. District Judge Jennifer L. Thurston on August 10, 2026.

She faces a maximum possible sentence of 20 years in prison and a $250,000 fine. Any final punishment will be set by the court after reviewing federal sentencing guidelines and the circumstances of the case.

Featured image: Suliana Caldwell via LinkedIn

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