Are prediction markets legal in Texas?

Prediction markets are available in Texas, and we found no enforcement against them. But Texas bans sports betting, and its Senate has been told to study 'the sudden inundation of prediction market gambling' ahead of the 2027 legislative session.

Yes, prediction markets are currently available in Texas. As of October 17, 2026 we found no Texas enforcement action against Kalshi, Polymarket US, Novig, PredictIt or others. Texas bans sports betting, though, and its Senate is studying prediction markets ahead of the 2027 session.

Texas’s position

Texas has no legal sports betting. Under the Penal Code, a person commits an offence if they make “a bet on the partial or final result of a game or contest.” The Texas Constitution also restricts lotteries. In March 2026 Lieutenant Governor Dan Patrick issued interim charges directing the Senate State Affairs Committee, under the heading “Closing Gambling Loopholes,” to study “the sudden inundation of prediction market gambling and the exploitation of federal law to circumvent Texas gambling prohibitions.” Texas did not sign the October 2026 multistate Supreme Court brief against Kalshi.

What’s available

With no sportsbooks in Texas, every major platform offers sports contracts here, including DraftKings Predictions and FanDuel Predicts. Watch the 2027 legislative session for changes. See our ranking of the best sports prediction sites and 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).