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Coinbase Moves New York Prediction Market Lawsuit to Federal Court
Odaily Planet Daily News: Coinbase Chief Legal Officer Paul Grewal said the company has moved the lawsuit filed by New York Attorney General Letitia James against its prediction market business from state court to federal court, arguing that the case involves disputes under federal law.
The lawsuit alleges that Coinbase and Gemini-related prediction market products violate New York State gambling laws, allowing users to trade events such as sports, entertainment, and elections without obtaining a license. Coinbase argues that prediction markets should be subject to unified regulation by the U.S. Commodity Futures Trading Commission (CFTC), and it will continue to push for regulatory recognition at the federal level.
The case concerns the division of regulatory authority between state and federal levels, or could have a significant impact on the regulatory framework for prediction market platforms. (Cointelegraph)