Minnesota Senate moves to ban prediction markets

The Minnesota Senate approved a ban on betting-style prediction markets in a 56-10 vote on April 30, a move supporters say will curb gambling risks and critics warn could draw legal challenges. (fox9.com)

The measure passed after GOP leaders tried to block a procedural vote and is attached to a public safety bill with bipartisan House support. The legislation specifically targets platforms such as Polymarket and Kalshi and comes alongside a separate Senate ban on online sweepstakes that resemble slot machines. Supporters including Sen. John Marty and Sen. Jordan Rasmusson cited risks of gambling addiction and potential corruption. Senate Minority Leader Johnson warned the Trump administration filed five lawsuits in April against states that tried similar bans and predicted Minnesota would face litigation if the bill becomes law.

The episode follows other states' efforts to restrict prediction markets and the Trump administration's filing of five lawsuits in April challenging those laws. Backers said the bill closes what they view as a legal loophole, while critics warned it could spark protracted court fights that will determine how the law is enforced.