
TD Cowen notes U.S. state regulators may have leverage in the Crypto.com sports prediction market case, now before the Ninth Circuit, amid federal-state jurisdiction tensions.
Investment bank TD Cowen indicated U.S. state governments could hold an advantage in the legal dispute with Crypto.com over sports prediction markets. Nevada regulators classified Crypto.com’s contracts as unlicensed gambling products, challenging federal oversight. The Commodity Futures Trading Commission has backed federal jurisdiction, but the conflict has escalated to the Ninth Circuit Court of Appeals, reflecting the broader struggle between state and federal authority over prediction markets.