Coinbase agrees to end sports event contracts in Michigan by 10 October

Under an agreement with the Michigan Gaming Control Board (MGCB), Coinbase will no longer list new sports event contracts for Michigan users and will close its open positions in the state. The cut-off is 12:00 a.m. Eastern time on 10 October 2026, and the regulator announced the deal on 7 October.

The MGCB said Michigan has now secured either agreements or court orders covering Kalshi, Robinhood and Coinbase.

What happened

The agreement is with Coinbase Financial Markets, Inc. Coinbase will not add further sports event contracts for Michigan customers, a restriction that covers contracts traded on KalshiEX and other designated contract markets, and it will close out existing customer positions by the deadline.

As long as Coinbase complies, and while related appeals continue at the Sixth Circuit appeals court, the state has agreed not to take enforcement action against the company.

The MGCB described the deal as the latest in a series of Michigan steps against what it calls unlicensed operators offering sports wagering products presented as federally regulated prediction markets. It said the arrangement is nearly identical to one reached with Robinhood Derivatives, LLC, and that Kalshi is subject to a state-court preliminary injunction.

MGCB Executive Director Henry Williams said: "Operators are halting these activities because they face significant legal consequences for continuing to offer them in our state." Michigan Attorney General Dana Nessel said the state intends to bring all sports betting into line with the law, by agreement or by court order.

The regulator stressed that the stipulation does not settle whether Michigan may regulate event contracts on CFTC-registered exchanges as gambling. All parties keep their rights and defences until a final ruling.

In August 2026 the court denied Coinbase's request for a preliminary injunction, and its appeal is pending at the Sixth Circuit. That appeal is stayed pending related appeals involving Robinhood, Polymarket and Kalshi.

Why it matters

Affiliates, media buyers and operators promoting sports event contract platforms could need to check whether any Michigan-facing campaigns, tracking links or geotargeting still point to these products once the 10 October deadline passes.

The agreements are also likely to matter for licensed Michigan sportsbooks. The MGCB and the Attorney General's office said they are working together so that sports wagering in the state is offered only through licensed, regulated operators.

For platforms present in several states, the pattern could mean more geoblocking and compliance work. Because the Michigan deals leave the core legal question open, the position could change once the pending appeals are decided.

What's next

Coinbase's deadline for ending new sports contracts and closing open Michigan positions is 10 October 2026, at 12:00 a.m. Eastern time. Its appeal remains stayed until the related appeals are resolved, and the MGCB said all parties' rights are preserved until a final ruling.