PROVIDENCE, R.I. (WPRI) — Rhode Island Attorney General Peter Neronha is suing the world’s two largest online prediction markets, alleging they are offering sports betting illegally to residents outside the state’s regulated gambling system.
In a 32-page complaint filed May 21 in Providence County Superior Court, Neronha accuses Polymarket and Kalshi of functioning as sports gambling platforms under the guise of “event contracts.” He argues users are betting real money on uncertain real-world events for financial prizes, ultimately constituting to “casino gaming” and “online sports wagering” under state law.
“The problem here is that Rhode Island State law heavily regulates gambling, for good reason, and we allege that Kalshi and Polymarket are evading our laws,” Neronha said in a press release. “And Rhode Islanders are losing out.”…