A federal judge has temporarily blocked Minnesota’s law prohibiting prediction markets, just days before it was set to take effect. The ruling comes in response to lawsuits filed by the Department of Justice, the Commodity Futures Trading Commission (CFTC), and prediction market platforms Polymarket and Kalshi. These plaintiffs argued the ban was unlawful and would stifle innovation in financial markets. The judge’s decision prevents Minnesota from enforcing the ban while the legal challenges proceed. Prediction markets allow users to trade on the potential outcomes of future events. Supporters say they provide valuable forecasting information, while critics raise concerns about potential gambling risks and market manipulation. The outcome of the lawsuits will determine the future legality of these markets within Minnesota.