New York Sues Polymarket Over Alleged Unlicensed Gambling and Underage Trading

New York is suing Polymarket US, alleging the prediction market operates illegal gambling without a state license and allows users under 21 to bet. New York Attorney General Letitia James and Governor Kathy Hochul sued Polymarket’s US arm on Thursday, alleging the prediction market has been running an illegal gambling operation in the state without a license. The suit targets QCX LLC, which does business as Polymarket US and launched in the United States in December 2025, letting users bet money on sporting events and other outcomes. Triple Fines and Restitution Sought The state argues those markets meet New York’s legal definition of gambling because their results are uncertain and outside the bettor’s control, and says the company never obtained a license from the New York State Gaming Commission or paid the taxes licensed operators owe. The complaint also says Polymarket lets users aged 18 to 20 trade, while New York requires mobile sports bettors to be at least 21. James is asking the court to halt Polymarket’s unlicensed gambling operations in New York, order it to forfeit all illegal gains and pay restitution to harmed users, and impose fines equal to three times those gains....