With another week complete and the weekend soon upon us, it's time for an online gambling round-up. Here's the latest news from the past week from the world of US sports gambling, prediction markets, sweepstakes games, and online casinos.
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First is a major update from Maryland, where the state's gaming regulator gave prediction market operator Kalshi a brief lifeline.
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Maryland vs Kalshi Peace...For Now
There will be peace between the Maryland Lottery and Gaming Commission (MLGC) and prediction market operator Kalshi, at least for the time being.
The MLGC has agreed to forgo any action against Kalshi until the U.S. Court of Appeals for the Fourth Circuit rules on an appeal from the company. Kalshi filed an appeal with the court after Maryland Judge Adam Abelson denied its request for an injunction against an MLGC cease-and-desist letter.
Kalshi had argued that it was exempt from state laws as a Commodity Futures Trading Commission (CFTC)-regulated entity. Abelson disagreed. Ruling that the company did not show any "likelihood of success" in its request for an injunction, believing that CFTC regulation did not allow the company to sidestep state laws.
Should the Fourth Circuit Court of Appeals agree with Abelson, the peace will be called off, and Maryland will take action against the company, having its event contracts removed from its jurisdiction. Other states will likely follow suit, such as Nevada.
Nevada Wants More Information On Kalshi
In Nevada, the state has filed for the discovery of evidence in its court battle against Kalshi. The state wants information on event contracts that are being offered to Nevada citizens, as well as communications with the CFTC and with nominee for CFTC chair Brian Quintenz.
The state argues that this information is important in its case, stating: "to decide whether Nevada’s gaming laws are preempted, the Court will need to know key facts about Kalshi’s products".
Kalshi counters, saying this information is not necessary and that this case is a matter of the court's interpretation of the law.
What's Next: Should the court allow this need for discovery, the revelations could spill out from the Nevada court and impact its appeal in Maryland, as well as its ongoing court battle in New Jersey.
ESPN Bet Enacts Bet Minimum In Illinois
Yet another book has enacted a new policy in light of Illinois's $0.25 to $0.50 fee on each bet placed. ESPN Bet announced a $1 minimum bet for customers in Illinois. They are the third sportsbook to place a minimum bet in the Land of Lincoln, with bet365 and Hard Rock Bet announcing a $2.50 and $2.00 bet minimum, respectively.
DraftKings and FanDuel had already announced a $0.50 surcharge on each bet placed on their platform in Illinois.
| Sportsbooks | Response |
|---|---|
| DraftKings | $0.50 fee on each bet |
| FanDuel | $0.50 fee on each bet |
| BetMGM | $2.50 minimum bet |
| Hard Rock Bet | $2.00 minimum bet |
| ESPN Bet | $1.00 minimum bet |
Having one of the lowest minimum bets could help ESPN gain market traction amongst tertiary sportsbooks in Illinois.
We know the book is struggling to gain market share across the US, ranking sixth in handle in the US. We also know that the deal between PENN Entertainment and ESPN is on its last legs and could end in 2026 if market share doesn't improve.
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Sweepstakes game McLuck Back in Alabama and Georgia
On McLuck's website, the casino has returned to both Alabama and Georgia. No specific reason was given for the return. However, it stated that Alabama and Georgia were "previously part of our restricted list".
There has been no immediate change in either state vis-à-vis sweepstakes games. There are still 13 outstanding lawsuits filed in Alabama against several sweepstakes casinos. There are no pending lawsuits against sweepstakes casinos in Georgia, though one was dismissed in May because the court didn't have jurisdiction to rule.
Ohio Also Investigating Guardians Pitchers
The Ohio Casino Control Commission (OCCC) is also investigating suspended Cleveland Guardians pitchers Luis Ortiz and Emmanuel Clase for possible gambling infractions.
The OCCC stated: "The Commission’s investigation is dedicated to safeguarding the integrity of sports wagering conducted in Ohio and we appreciate Major League Baseball’s efforts are directed at protecting the integrity of the game itself."
Ohio Governor Mike DeWine has requested that the OCCC ban prop bets from the state in light of the two pitchers' suspension. This investigation is part of the OCCC's work on a decision on prop bets in the Buckeye State.
What's Next: The OCCC's findings could help tip the scales for or against a prop bet ban in Ohio.
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