The Newsom executive order restricted state officials, not California residents. Prediction markets are fully legal in CA under CFTC regulation. Here\'s the full
The Newsom executive order restricted California state officials from trading on prediction markets where government policy is the subject. It did not ban California residents. All major CFTC-regulated platforms remain available to CA residents.
The CFTC regulates event contracts as financial derivatives under the Commodity Exchange Act. Kalshi and Polymarket operate under this federal framework, making them available to all U.S. residents unless a court order says otherwise.
A governor's executive order cannot override federal derivatives law for private residents. Contrast: Nevada, New York, and Michigan have active court orders restricting Kalshi as of July 2026. California has no such order — no AG lawsuit, no TRO.
| Platform | CA Residents | State Officials Note | Notes |
|---|---|---|---|
| Kalshi | N/A | ||
| Polymarket | N/A | ||
| Robinhood | N/A | ||
| — | N/A |
CA residents can trade on Kalshi and Polymarket today.
CFTC preemption protects federally regulated derivatives from executive order restrictions.
State officials should confirm EO scope with their ethics office before trading.
If the CA AG sues and wins a TRO, status could change — check this page for updates.
