Studies have shown that the betting sites can predict races correctly, but their ability to forecast U.S. midterm elections is an important proving ground.

© Hilary Swift for The New York Times

The company said it was looking into hundreds of new accounts that had placed wagers in two markets related to the election on Tuesday.

© Chris McGrath/Getty Images

Security incident linked to performance-monitoring tool spurred platform to halt trading for about an hour

Polymarket temporarily halted trading on its international platform on Thursday because of a security incident that compromised a third-party provider, the company said.

Trading was paused for about an hour and resumed on Thursday afternoon. The company has promised to fully reimburse any affected traders.

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© Photograph: Bloomberg/Getty Images

© Photograph: Bloomberg/Getty Images

© Photograph: Bloomberg/Getty Images

Betting markets like Polymarket and Kalshi have transformed America’s democracy into a new kind of casino.

© Hilary Swift for The New York Times

Firm calls charges, which include violating state gambling ban and profiting from illegal activity, ‘crazy overreach’

Utah on Wednesday filed criminal charges against prediction market operator Kalshi and two of its executives, months after a federal judge rejected Kalshi’s effort to prevent Utah from enforcing its strict anti-gambling laws against the activity.

The felony charges could represent a new tactic in how states try to assert regulatory authority over the fast-expanding activity, a clash that appears headed to a showdown at the US supreme court.

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© Photograph: Jeenah Moon/Reuters

© Photograph: Jeenah Moon/Reuters

© Photograph: Jeenah Moon/Reuters

Firm calls charges, which include violating state gambling ban and profiting from illegal activity, ‘crazy overreach’

Utah on Wednesday filed criminal charges against prediction market operator Kalshi and two of its executives, months after a federal judge rejected Kalshi’s effort to prevent Utah from enforcing its strict anti-gambling laws against the activity.

The felony charges could represent a new tactic in how states try to assert regulatory authority over the fast-expanding activity, a clash that appears headed to a showdown at the US supreme court.

Continue reading...

© Photograph: Jeenah Moon/Reuters

© Photograph: Jeenah Moon/Reuters

© Photograph: Jeenah Moon/Reuters

The market had more than $450,000 in volume before it was taken off Polymarket's international platform.