Novig Sues Five State Attorneys General Over Sports Contracts
Novig operates a prediction market for sports event contracts and argues that its products fall under the federal oversight of the Commodity Futures Trading Commission, rather than state gambling laws. The dispute is part of a broader regulatory fight over whether sports-linked contracts are federally regulated derivatives or effectively a form of sports betting subject to state licensing and enforcement, with implications for the balance of authority between Washington and state regulators.
Novig has sued officials in five states, including Wisconsin’s attorney general, as it challenges state efforts to restrict or regulate trading in its sports contracts. The company is seeking judicial backing for its position that its federal regulatory status preempts state gambling rules. The legal offensive comes shortly after Novig announced a partnership with Major League Baseball’s New York Mets, underscoring its push to expand its profile in sports even as scrutiny from state authorities intensifies.
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2 original reportsThe Backstory
The history behind this eventMets Name Novig Partner in MLB Prediction-Market First
Sports prediction markets let users trade contracts tied to game outcomes, with prices set by market supply and demand rather than a conventional sportsbook acting as the house. Novig secured Designated Contract Market status from the U.S. Commodity Futures Trading Commission on June 16, 2026, enabling it to pursue nationwide operations under federal oversight. The Mets agreement marks a significant step in bringing the emerging trading model into mainstream professional sports.
The New York Mets said on July 30, 2026, that Novig would become their official prediction-market partner under an exclusive multi-year agreement, the first such team-level deal in Major League Baseball. Novig’s branding will appear across the Mets ecosystem, including Citi Field signage, interactive fan contests, broadcasts, digital channels and social media. The company previously raised $18 million in a Series A round announced on Aug. 11, 2025, to support regulatory expansion and growth across U.S. states.
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