The Connecticut Department of Consumer Protection has issued cease-and-desist orders to companies. Kalshi, Robinhood and Crypto.com, accusing them of conducting unlicensed online gambling, in particular sports betting.
The orders, issued by the Department’s Gaming Division, target what regulators call «sports event contracts,» which they consider illegal sports betting without a state license.
In Connecticut, only licensed entities are allowed to offer sports betting, said Department of Gaming Commissioner Brian T. Cafferelli.
None of these organizations are licensed to offer wagering in our state. And even if they were, their contracts violate numerous other state laws and regulations, including offering wagers to individuals under 21.
Kalshi, Robinhood and Crypto.com The platform is ordered to immediately cease advertising, promotion, and contracting with Connecticut residents. Furthermore, platforms must allow users in the state to withdraw any funds from their accounts.
Failure to comply with these orders may result in civil penalties under the Connecticut Unfair Trade Practices Act and even criminal charges.
This year Kalshi has faced similar measures in other states, including Arizona, Illinois, Montana and Ohio.