Legal Sports Betting Brief: IL Casino Push, NV Blocks Polymarket, NY Issues Warning

Written By:

Hunter Gold

Published On:

February 4, 2026 1:56 PM

Prediction Bet Brief: Polymarket Wait List, Fanatics Launch
  • Illinois Rep. Edgar González Jr. filed new legislation to legalize online casino betting with a 25% tax following last year’s unsuccessful attempt.
  • Polymarket faces a court-ordered suspension in Nevada until February 11th after a judge ruled the platform appears to violate state gambling regulations.
  • New York Attorney General Letitia James warned consumers about prediction market platforms while noting licensed operators could face legal consequences for involvement.

SPRINGFIELD, Ill. — Lawmakers in Illinois are making another push to authorize online casinos while Nevada courts move against prediction market operators and New York’s attorney general voices warnings ahead of Super Bowl Sunday.

On Monday, House Bill 4797 was introduced. It was based on Rep. Edgar González Jr.’s unsuccessful 2025 attempt to permit online casino gaming in Illinois. The plan would allow the Illinois Gaming Board to license companies that provide slots, table games, poker, and live dealer games by imposing a 25% tax on gross gaming revenue. It is possible for up to three online platforms to work together with authorized operators.

Like legal Illinois sports betting, only individuals 21 or older who are physically in Illinois would be eligible to participate. The most significant provision targets job protection concerns by barring the Gaming Board from issuing licenses to any operator that has reduced its Illinois workforce by at least 25% since February 2020.

Opposition from PENN Entertainment and the video gaming terminal industry prevented the 2025 version from passing committee.

Nevada Judge Blocks Polymarket Through Super Bowl Weekend

On Thursday, a Nevada state court issued a temporary restraining order blocking Polymarket from offering event contracts in the state for two weeks. Judge Jason Woodbury determined that the Nevada Gaming Control Board appears likely to succeed in its case against the platform.

On January 16th, the NGCB filed a lawsuit, claiming that Polymarket’s event contracts violate Nevada sports betting laws by amounting to illegal wagering. Polymarket intends to contest the order and has geofenced Nevada. Whether the restraining order becomes a longer preliminary injunction will be decided at a hearing on February 11.

Although NFL contracts were not included in Polymarket’s limited U.S. beta, the timing prohibits legal sports betting during the Super Bowl.

New York AG Warns Against Prediction Markets Before Super Bowl

Letitia James, the attorney general of New York, issued a consumer warning on Monday regarding prediction markets, describing them as New York betting sites that pose as event contract services. James noted that these websites operate without the New York Gaming Commission’s regulation and lack fundamental protections.

According to James, any engagement in the promotion or advertising of unauthorized sports betting may result in criminal and civil penalties, which might affect licensed operators with ties to prediction market platforms. Currently, a number of New York-licensed sportsbooks, including DraftKings, FanDuel, and Fanatics, offer prediction market services in other states.

The warning comes as Kalshi and New York are still involved in a legal battle that started in October when the company filed a complaint against the Gaming Commission after receiving a cease-and-desist letter.

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Ben Fiore

Hunter Gold

Hunter brings a unique perspective to sports writing through his dual degree in Marketing and Sports Management from Florida State University. Having previously written for FSU Athletics, he combines his insider knowledge of college sports with sharp analytical skills to deliver compelling content. His passion for hockey drives much of his coverage, though he enjoys writing about various sports. When he's not crafting his next piece, you can find him playing sports or exploring new places.