Fanatics Markets is scheduled to stop accepting new event-contract trades in Utah on 4 November, following a series of restrictions introduced by sportsbook-backed prediction market operators amid escalating legal pressure in the state.
A broader operator pullback
The company previously confirmed that it would end trade placement in Utah on the stated date. The move follows earlier restrictions by DraftKings Predictions and FanDuel Predicts, which removed sports, political, novelty and certain other event contracts for customers located in the state.
DraftKings and FanDuel have retained financial event contracts, including markets tied to stocks, commodities and economic indicators. Fanatics’ announced action is broader: it is stopping trade placement on Fanatics Markets in Utah rather than limiting the withdrawal to selected event categories.
Legal pressure drives the decision
The withdrawals follow Utah’s criminal case against Kalshi and its co-founders, as well as the state’s wider effort to block event contracts it considers unlawful gambling. Utah prohibits nearly all forms of gambling, making it an especially challenging market for prediction platforms offering contracts on sports and other events.
The dispute has also drawn in the federal government. The Commodity Futures Trading Commission has argued that federal law gives it authority over federally regulated event contracts, while Utah maintains that its gambling laws apply to the products offered to residents. The decisions by DraftKings, FanDuel and Fanatics illustrate the cautious approach taken by companies that operate both traditional sportsbooks and prediction market products. The wider legal question remains unresolved.