Robinhood and Polymarket sue Missouri, so all six firms the state warned are in court, as Polymarket and OG.com also sue Arkansas
The suits are pre-emptive. The companies are asking federal judges to declare that the Commodity Exchange Act, which gives the Commodity Futures Trading Commission authority over exchange-traded contracts, leaves no room for state gambling regimes. The states argue that a bet is still a bet whatever it is called. Courts around the country have split on the question.
What the market is pricing
Neither Kalshi nor Polymarket lists a market on the outcome of these lawsuits, and BetG8 could not re-read prediction market prices in this run, so no venue prices are shown. Robinhood is the one listed plaintiff. Its share price from Twelve Data at 16:56 UTC on November 12, 2026, during the US session:
| Stock, 16:56 UTC Nov 12 | Price | Change on day | 52-week range |
|---|---|---|---|
| Robinhood Markets (HOOD) | $83.86 | -0.9% | $63.52 to $139.75 |
These are market prices, not predictions. Robinhood's stock reflects its whole brokerage and crypto business, and no link between the day's move and the litigation is implied.
Missouri: six letters, six lawsuits
In September, Hanaway's office told Underdog, Kalshi, Polymarket, Crypto.com, Novig and Robinhood to stop offering sports event contracts in Missouri unless they obtained a Missouri Gaming Commission license, paid a 10% tax on adjusted gross revenue and blocked users under 21, according to AffPapa. When she announced the letters, Hanaway said that "Companies cannot repackage sports bets as 'event contracts' to avoid Missouri law," FairGambling reported.
Kalshi sued in late October, according to SportsBettingDime, and Underdog, Novig and Crypto.com also filed suits seeking preliminary injunctions, according to AffPapa. Robinhood's complaint, filed in the Eastern District of Missouri, seeks a temporary restraining order and preliminary and permanent injunctions, SportsBettingDime reported. According to FairGambling, Robinhood describes itself as a CFTC-registered broker that routes orders to Kalshi, Rothera and Nadex, and argues a state cannot pursue the middleman when it cannot pursue the exchange. Robinhood also says a Missouri license is out of reach because the two stand-alone mobile licenses went to DraftKings and Circa Sports, FairGambling reported.
The timing has a cause. According to FairGambling, Robinhood's complaint says Missouri's solicitor general told the company on November 6 that the state intended to seek a court order compelling compliance in at least three days. Missouri has asked to combine Novig's case with Kalshi's in St. Louis and must respond to Crypto.com's motion by November 23, according to AffPapa.
Arkansas: the exchanges sue first
Griffin sued KalshiEX LLC and Kalshi Inc. in Independence County Circuit Court, alleging unlawful wagering, deceptive trade practices and unjust enrichment, and seeking an injunction, restitution, civil penalties and taxes, according to DeFi Rate and KATV. "Wagering money on whether the Razorbacks win or lose is gambling," Griffin said, according to KATV. KATV did not include a response from Kalshi.
Polymarket's US exchange, QCX LLC, then sued Arkansas officials in the Western District of Arkansas, and OG.com, through North American Derivatives Exchange, which DeFi Rate says is owned by Crypto.com, filed a 59-page complaint in the Eastern District against Griffin and seven state racing commission members, seeking declaratory and injunctive relief. Both cite the Kalshi suit as evidence of an imminent enforcement threat, DeFi Rate reported. Griffin's office has argued that "Arkansas law is concerned with substance, not semantics."
What to watch next
In Missouri, the first rulings on temporary restraining orders and whether the state files its promised enforcement action. In Arkansas, motions for preliminary injunctions in the two federal suits. Both states sit in the Eighth Circuit, where Kalshi's Iowa appeal has an opening brief due December 7, according to DeFi Rate. Also watch the CFTC's impartial-access interpretation, which DeFi Rate says gives exchanges 30 days to end state-level geographic restrictions or explain why they cannot. Elsewhere, a New York federal judge this week denied Novig an injunction, finding its sports contracts are not swaps. Our Novig ruling explainer has the details.
Method and limits
This article relies on reporting by FairGambling, SportsBettingDime, AffPapa, DeFi Rate and KATV; BetG8 did not review the complaints directly. All legal claims are attributed to the parties or to those reports, and none has been tested in court. The Robinhood quote is from Twelve Data at 16:56 UTC on November 12, 2026. Nothing here is legal advice, and BetG8 takes no position on the litigation.
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Frequently asked questions
Who is suing Missouri over sports event contracts?
All six companies that received Missouri cease-and-desist letters in September: Kalshi, Underdog, Novig, Crypto.com, Robinhood and Polymarket US, according to AffPapa and FairGambling. Robinhood and Polymarket US filed on November 9, 2026.
Why did Polymarket sue Arkansas?
Polymarket's US exchange, QCX LLC, sued Arkansas officials in federal court after Attorney General Tim Griffin sued Kalshi in state court, according to DeFi Rate. It argues federal commodities law preempts state gambling enforcement against its contracts.
Has any court ruled in these cases?
Not as of November 12, 2026. Robinhood's request for a temporary restraining order was pending, and the Arkansas suits had just been filed. Other courts have split on the underlying preemption question.
Sources
- FairGambling, Robinhood sues Missouri over sports event contracts
- SportsBettingDime, Missouri cease-and-desist leads to Robinhood lawsuit
- AffPapa, Underdog sues Missouri over prediction markets
- DeFi Rate, Polymarket and OG sue Arkansas after state targets Kalshi
- KATV, Arkansas Attorney General sues Kalshi, gaming platform VGW for illegal gambling
- Twelve Data, HOOD quote, read 16:56 UTC, November 12, 2026
18+ only. This page reports market prices and published facts; it is not betting, financial or legal advice, and prices are not predictions. If gambling stops being fun, help is available at 1-800-GAMBLER.