Are prediction markets legal in Tennessee?
2026-10-17
Tennessee's Sports Wagering Council ordered Kalshi, Polymarket and Crypto.com to stop offering sports contracts in January 2026, and in September 2026 the Sixth Circuit wiped out the injunction that had protected Kalshi. Kalshi is asking the full court to rehear the case.
| Platform | Status in Tennessee (October 17, 2026) |
|---|---|
| Kalshi | Available — state action contested |
| Polymarket US | Available — state action contested |
| Novig | Available |
| PredictIt | Available |
| Robinhood | Available |
| DraftKings Predictions | No sports contracts |
| FanDuel Predicts | No sports contracts |
Prediction markets are contested in Tennessee. As of October 17, 2026, Tennessee’s regulator has ordered Kalshi and Polymarket to stop offering sports contracts, and a federal appeals court has sided with the state. Kalshi is seeking a rehearing, and we couldn’t confirm whether either platform has switched off sports in Tennessee yet. Novig and PredictIt face no Tennessee action that we found.
Tennessee’s position
Tennessee allows online sports betting only. The Tennessee Sports Wagering Council regulates it, and you must be 21. On January 9, 2026, the Council sent cease-and-desist letters to Kalshi, Polymarket and Crypto.com, as reported by The Block and others. The letters told them to stop offering sports contracts, void open ones and refund customers by January 31, with penalties of up to $25,000 per violation.
Kalshi in Tennessee
Kalshi sued, and a federal judge in Nashville granted it a preliminary injunction. On September 25, 2026 the Sixth Circuit, deciding Tennessee’s and Ohio’s cases together, vacated that injunction. It held that “Kalshi has not shown that its sports-event contracts satisfy the statutory definition of a ‘swap.’” Tennessee’s Attorney General called it “a great win for Tennessee.” Kalshi has since asked the full Sixth Circuit to rehear the case, which was still pending as of mid-October. See is Kalshi legal?
Other platforms
- Polymarket US: named in the January 2026 letters (reported); no lawsuit found. See is Polymarket legal?
- Novig and PredictIt: no Tennessee action found.
- DraftKings and FanDuel don’t offer sports contracts in Tennessee, where they run licensed sportsbooks.
For every state side by side, see our legality tracker.
Frequently asked questions
Is Kalshi legal in Tennessee?
It's contested. Tennessee's Sports Wagering Council sent Kalshi a cease-and-desist in January 2026. A federal judge first blocked enforcement, but the Sixth Circuit vacated that injunction on September 25, 2026. Kalshi has asked the full Sixth Circuit to rehear the case, and we couldn't confirm whether it has since restricted sports contracts in Tennessee.
Is sports betting legal in Tennessee?
Yes, online only, regulated by the Tennessee Sports Wagering Council. You must be 21 or older.
Is Polymarket legal in Tennessee?
Polymarket US received the same January 2026 cease-and-desist (reported). It doesn't list Tennessee as unavailable, but the state's position is that its sports contracts are illegal. Check the app.
Sources
- US Court of Appeals, Sixth Circuit — KalshiEX v. Schuler / KalshiEX v. Orgel (September 25, 2026)
- Tennessee Attorney General — statement on the Sixth Circuit ruling (September 28, 2026)
- Tennessee Sports Wagering Council — 'Sports betting in Tennessee is for those 21 years old and up' (August 12, 2024)
- The Block — Polymarket faces Tennessee cease-and-desist (January 2026; secondary)
- DeFi Rate — Kalshi asks full Sixth Circuit to review panel decision (October 2026; secondary)
- Novig Help Center — Eligibility & legality
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).