The New York Attorney General's office has initiated legal action against Polymarket, a platform for prediction markets, alleging that it has been conducting illegal gambling operations within the state. The lawsuit, filed on Thursday by Attorney General Letitia James, claims that Polymarket has been allowing users to wager on sports events since December 2025, all without the requisite gaming license mandated by New York law.
In her statement, Attorney General James emphasized the importance of New York's gambling regulations, stating, "Our gambling laws exist to protect New Yorkers, prevent the potential harms of problem gambling, and ensure funding for educational and public benefit programs. By skirting New York’s laws, Polymarket is targeting the most vulnerable and depriving New York families of critical services and support. My office will never hesitate to take action to defend our laws and keep New Yorkers safe."
The lawsuit further contends that since its inception, Polymarket has actively promoted sports betting to New York residents and has reportedly taken bets from users below the age of 21.
The legal filing seeks a court ruling that would prohibit Polymarket from conducting gambling activities in New York without proper authorization. It also demands financial penalties, which could amount to three times the profits gained from these alleged unlawful operations, in addition to restitution that could range from one-half to three times the illegal gains.
New York Governor Kathy Hochul voiced her support for the legal action, stating, "I will always stand up for New Yorkers when bad corporate actors prey on consumers and threaten tax dollars that fund schools and critical public services. By running an unlicensed gambling operation, Polymarket has done more than just knowingly violate state law; they have put New Yorkers at risk, especially those underage who are most vulnerable to problem gaming. Nobody is above the law in our state, and working with Attorney General James, we are fighting to protect New Yorkers and put this illegal operation to an end."
