Are prediction markets legal in Maryland?

Maryland says sports event contracts offered without a state licence are illegal sports wagering. It ordered Kalshi, Robinhood and Crypto.com to stop in April 2025 and beat Kalshi in federal court; Kalshi's Fourth Circuit appeal was argued in May 2026 and is awaiting a decision.

Prediction markets are contested in Maryland, and sports contracts are partly unavailable. As of October 17, 2026, Maryland’s regulator treats sports event contracts without a state licence as illegal sports wagering. Robinhood blocks them for Maryland residents, and Kalshi’s challenge is waiting on a federal appeals court ruling.

Maryland’s position

Maryland allows retail and mobile sports betting, regulated by Maryland Lottery and Gaming, and bettors must be at least 21. In a November 2025 notice to licensees, the regulator said that “a sporting event contract offered on a designated contract market (‘DCM’) without a valid Maryland sports wagering license is an ‘illegal activity’ in our state because this is unlawful sports wagering.” It also warned licensees that associating with such offerors “may bear negatively on your qualifications.”

Kalshi and others

On April 7, 2025, Maryland Lottery and Gaming sent cease-and-desist letters to Kalshi, Robinhood and Crypto.com (North American Derivatives Exchange). Kalshi’s letter directs it to “immediately cease and desist offering in Maryland its event contract ‘Will <team> win <title>?’”

Kalshi sued. A federal judge denied it a preliminary injunction on August 1, 2025, and its appeal to the Fourth Circuit was argued on May 7, 2026. As of September 25, 2026 the Sixth Circuit noted that the Fourth Circuit appeal “remains pending,” and we found no decision by October 17. The ruling could deepen or narrow the split among appeals courts. See is Kalshi legal?

Other platforms

• Robinhood: blocks sports event contracts for Maryland residents.
• Polymarket US, Novig and PredictIt: not on Maryland’s cease-and-desist list, and we found no Maryland action against them.
• DraftKings and FanDuel don’t offer sports contracts in Maryland, where they run licensed sportsbooks.

Compare every state in our legality tracker.

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).