Novig sues Wisconsin over sports contracts

• Prediction market Novig sued Wisconsin officials over its sports event contracts.
• Novig began offering contracts to Wisconsin users one week before filing the lawsuit.
• The case is part of Novig’s legal campaign across five US states.

Novig has sued Wisconsin officials over plans to restrict its sports prediction contracts.

Ludlow Exchange LLC, Novig’s operating subsidiary, filed the 45-page complaint in federal court.

The company argues its sports contracts are swaps under federal commodities law and fall under CFTC jurisdiction.

Wisconsin officials argue that sports contracts remain bets under state law, regardless of federal exchange status.

Novig began offering contracts to Wisconsin residents one week before filing the lawsuit, according to court documents.

The company has filed similar cases against officials in New York, New Mexico, Massachusetts and Washington since 4 August.

Novig also signed a multi-year partnership with the New York Mets as it expands its prediction market business.