Overview
- A Nevada state court rejected the Gaming Control Board’s request for an ex parte temporary restraining order, keeping Coinbase’s prediction markets live pending a full hearing.
- The NGCB’s civil enforcement filing seeks a permanent injunction, arguing Coinbase’s event contracts are unlicensed wagering under state law and citing under‑21 access and unpaid licensing and tax obligations.
- Coinbase launched the product nationwide last month through CFTC‑regulated Kalshi and maintains the contracts fall under exclusive federal jurisdiction, a point reiterated by CLO Paul Grewal after the ruling.
- Nevada’s action tracks a wider state push that recently produced a two‑week TRO against Polymarket and ongoing litigation involving Kalshi over sports and election contracts.
- Coinbase shares fell about 4.3% on Wednesday as the enforcement case added to regulatory pressures despite the court’s refusal to grant immediate relief.