Polymarket US will stop offering new sports-related event contracts to customers in Michigan and close all remaining positions by the end of Nov. 25 under an agreement with the state, the Michigan Gaming Control Board announced Oct. 28.
The deal applies to QCX LLC, which does business as Polymarket US. Customers may close their positions voluntarily before the deadline; the company must close any that remain open at the end of that day, Eastern time. The U.S. District Court for the Western District of Michigan approved the stipulation.
Michigan agreed not to pursue enforcement action against Polymarket while the company complies. The agreement concerns sports contracts rather than Polymarket’s entire prediction-market offering, leaving its political, election and macroeconomic markets outside its stated scope.
The arrangement followed Polymarket’s March federal lawsuit seeking to block Michigan’s enforcement of its gaming laws. The court denied a temporary restraining order that month and rejected a preliminary injunction in June. Polymarket has appealed, and the case remains before the Sixth Circuit.
The June ruling found that the sports event contracts at issue did not meet the relevant federal statutory definition of financial swaps, weakening Polymarket’s claim that federal commodities law shielded the contracts from Michigan gambling regulation. The wider dispute over the boundary between federal commodities oversight and state gambling law remains unresolved.
The Michigan Department of Attorney General notified Polymarket on Sept. 10 that the state would take legal action if it continued offering sports-related contracts to residents. State officials maintain that businesses offering sports wagering must hold a Michigan licence and operate under the state’s regulatory framework.
The agreement is the latest Michigan action against operators offering sports-wagering products as federally regulated prediction markets. Earlier this month, as we reported, Coinbase Financial Markets agreed to end its Michigan sports event contracts. The state has also secured agreements or court orders affecting Robinhood, Kalshi and Polymarket.
MGCB Executive Director Henry Williams said Polymarket’s agreement showed the state’s approach was working, adding that operators seeking to offer sports wagering to Michigan residents need a Michigan licence. The Nov. 25 deadline requires Polymarket to have stopped new sports contracts and closed outstanding Michigan customer positions.
