# Missouri Orders Six Platforms to Halt Sports Contracts or Meet State Rules

By Riza Dagoc

Canonical URL: https://www.tokenpost.com/news/regulation/35368
Published: 2026-10-20T06:25:56.000Z
Updated: 2026-10-20T06:25:56.000Z
Section: Regulation

> The September letters set response deadlines of Friday, Oct. 16, and Saturday, Oct. 17. Operators tied to Novig and Crypto.com filed federal challenges on Oct. 16.

Missouri demanded that six platforms stop offering sports event contracts to state residents or comply with its sports-wagering rules, and asked them to confirm their response within 30 days. Operators tied to two platforms have challenged the demands in federal court.

The state sent letters dated Sept. 16 to Polymarket, Kalshi, Crypto.com and Robinhood. Letters to Novig and Underdog were dated Sept. 17. Each requested confirmation that the platform had ended the activity in Missouri or met applicable state requirements. The response deadlines fell on Friday, Oct. 16, and Saturday, Oct. 17.

Missouri Attorney General Catherine Hanaway argues that calling a sports wager an event contract does not exempt it from state law. “Companies cannot repackage sports bets as ‘event contracts’ to avoid Missouri law,” Hanaway said. The state also alleged inadequate age safeguards at five recipients, but did not make that allegation against Novig.

Missouri voters approved the state’s sports-wagering framework in November 2024, and its regulated market opened Dec. 1, 2025. Licensed sports wagering is subject to a 10% tax on adjusted gross revenue. An initial mobile license fee can reach $500,000, with a renewal fee of up to $500,000 every five years. Licensees cannot offer sports wagers to people under 21.

On Friday, Oct. 16, Ludlow Exchange, LLC, doing business as Novig, and North American Derivatives Exchange, Inc., doing business as OG.com Prediction Markets, filed [separate federal challenges](<https://www.tokenpost.com/news/regulation/34514>). The latter operates Crypto.com’s prediction markets. Both plaintiffs seek to prevent Missouri from applying its wagering requirements to their contracts.

Novig argues that federal commodities law gives the Commodity Futures Trading Commission (CFTC) exclusive authority over its contracts. Missouri maintains that its sports-wagering rules apply to the products. The complaints ask federal courts to resolve that dispute; filing them did not itself establish that the plaintiffs are exempt from state requirements.

The CFTC proposed on Oct. 9 to expressly include sports event contracts in its definition of swaps. The proposal is not a final rule.



## Links in this article

- [separate federal challenges](https://www.tokenpost.com/news/regulation/34514)
