A Louisiana judge has issued a temporary restraining order requiring relevant operators, including a U.S. regulated trading platform, to stop offering or facilitating event contract trading to residents of the state and to implement geoblocking.
For COIN, this does not mean its entire business has been halted. Rather, the expansion of event contracts across state lines has encountered state-level enforcement resistance. The order currently remains in effect through November 22 and may be extended; a hearing on a preliminary injunction is scheduled for November 30.
The dispute has not remained confined to state court. The U.S. Department of Justice and the Commodity Futures Trading Commission have filed a lawsuit in another state, arguing that these regulated contracts fall under federal jurisdiction. But that lawsuit has not overturned Louisiana’s restrictions.
Next, attention will turn to the outcome of the hearing and whether the claim of federal jurisdiction can alter the boundaries of state-level enforcement: Should event contracts be regulated uniformly by the federal government, or can states still halt them first under their gambling laws?
For COIN, this does not mean its entire business has been halted. Rather, the expansion of event contracts across state lines has encountered state-level enforcement resistance. The order currently remains in effect through November 22 and may be extended; a hearing on a preliminary injunction is scheduled for November 30.
The dispute has not remained confined to state court. The U.S. Department of Justice and the Commodity Futures Trading Commission have filed a lawsuit in another state, arguing that these regulated contracts fall under federal jurisdiction. But that lawsuit has not overturned Louisiana’s restrictions.
Next, attention will turn to the outcome of the hearing and whether the claim of federal jurisdiction can alter the boundaries of state-level enforcement: Should event contracts be regulated uniformly by the federal government, or can states still halt them first under their gambling laws?