Are prediction markets legal in Alabama?
2026-10-18
Alabama has no legal sports betting, and we found no state enforcement action against any prediction market. A private class action filed in January 2026 accuses Kalshi of running illegal gambling under Alabama law, and Alabama's Attorney General backs states in the Kalshi Supreme Court fight.
| Platform | Status in Alabama (October 17, 2026) |
|---|---|
| Kalshi | Available |
| Polymarket US | Available |
| Novig | Available |
| PredictIt | Available |
| Robinhood | Available |
| DraftKings Predictions | Available |
| FanDuel Predicts | Available |
Yes, prediction markets are available in Alabama. As of October 18, 2026, we found no Alabama regulator or Attorney General action against Kalshi, Polymarket, Novig or PredictIt, though a private class action is challenging Kalshi under the state’s gambling laws.
Alabama’s position
Alabama has no legal sports betting. Its constitution bars most gambling, so legalising sportsbooks would need a voter-approved amendment, and a 2026 bill to send a lottery, casinos and sports betting to the ballot stalled without a committee hearing (per Casino.org). Alabama law defines gambling as staking something of value “upon the outcome of a contest of chance,” and excludes “bona fide business transactions valid under the law of contracts,” including futures contracts.
Attorney General Steve Marshall signed the October 2026 multistate brief asking the US Supreme Court to take up a Kalshi case on the states’ side, but we found no Alabama enforcement of its own.
The Kalshi class action
On January 29, 2026 an Alabama resident filed Jennings v. Kalshi in federal court in Montgomery, on behalf of a proposed class, against Kalshi and market maker Susquehanna. It accuses Kalshi of “running an illegal online gambling enterprise in violation of Alabama law” and seeks damages and an injunction. It’s a private suit, not state enforcement, and we found no ruling. See is Kalshi legal?
What’s available
With no sportsbooks in the state, DraftKings Predictions and FanDuel Predicts both offer sports contracts in Alabama, alongside Kalshi, Polymarket US, Novig and Robinhood. Compare every state in our legality tracker.
Frequently asked questions
Is Kalshi legal in Alabama?
Kalshi is available in Alabama and we found no state enforcement against it as of October 18, 2026. A private class action, Jennings v. Kalshi (M.D. Ala. 2:26-cv-00071, filed January 29, 2026), alleges Kalshi is 'running an illegal online gambling enterprise in violation of Alabama law.' It's undecided.
Is sports betting legal in Alabama?
No. Alabama has no legal sportsbooks, and changing that would take a constitutional amendment approved by voters. A 2026 bill to put a lottery, casinos and sports betting on the ballot didn't get a committee hearing.
Can I use DraftKings Predictions or FanDuel Predicts in Alabama?
Yes. DraftKings lists Alabama among its Predictions states, and Alabama was one of FanDuel Predicts' five launch states in December 2025, since there are no sportsbooks to protect.
Sources
- US District Court, M.D. Alabama — Jennings v. Kalshi Inc., class action complaint, 2:26-cv-00071 (January 29, 2026)
- Code of Alabama § 13A-12-20 (definition of gambling) via FindLaw
- US Supreme Court — States' amicus brief in Flaherty v. KalshiEX, No. 26-299 (Alabama signatory, October 2026)
- Casino.org — Alabama gambling referendum bill (2026, secondary)
- DK Network — DraftKings Predictions available states (July 22, 2026)
- Morning Journal — FanDuel Predicts launch states (February 2026, secondary)
Last checked:
Not legal or betting advice. 18+ (21+ where required). Prediction markets involve risk of loss — only trade what you can afford to lose. Gambling problem? Call or text 1-800-MY-RESET (National Problem Gambling Helpline, 24/7).