Maryland Regulation: Prediction Markets Face Uncertainty Amid Gaming Laws

Regulators in Maryland are taking a closer look at prediction markets after a state lawmaker compared a Kalshi contract to a corn futures trade.

The platforms, which offer bets on football games, elections, and weather events, argue they operate under federal regulations and aren't subject to state gaming laws. However, lawmakers and regulators in Tennessee have taken a different stance, ordering the platforms to cease offering sports contracts in January 2026.

While this regulatory debate unfolds, licensed Maryland sportsbooks continue to operate under state license, with deposits segregated, payouts audited, and a formal complaints process in place.