Kentucky HB 904 created a state regulatory framework for CFTC-licensed prediction market operators. Here's what changed, which platforms are available, and how to get started.
Kentucky HB 904 (2026 Ky. Acts Ch. 184) creates new sections of KRS Chapter 230 establishing a state regulatory framework for prediction market and fantasy contest operators in Kentucky. The law was enacted 2026-04-14 via Legislative override, with an effective date of July 15, 2026.
Kentucky Horse Racing & Gaming Corporation
July 15, 2026
CFTC Commodity Exchange Act (federal preemption applies)
Primary source: Kentucky Legislature — HB 904 Record
CFTC-regulated prediction markets operate under federal law
Most US prediction market platforms are licensed by the CFTC as Designated Contract Markets (DCMs) under the Commodity Exchange Act — the same federal license class as the Chicago Mercantile Exchange. Kentucky's HB 904 addresses the state-level framework; federal CFTC authorization is the primary legal basis for platform operation.
How federal-legal but state-restricted worksPlatform availability in Kentucky as of July 15, 2026. Always confirm current eligibility directly with each platform before funding an account — state access can change.
Verify at kalshi.com before signing up
Routes through Kalshi exchange — KY availability expected to follow Kalshi. Confirm at robinhood.com/predict.
Confirm eligibility at polymarket.com before signing up — availability varies by state.
DraftKings launched in 38 states as of December 2025. Confirm KY access at draftkings.com.
Confirm state eligibility at predictit.org before funding an account.
“Verify Before Signing Up” means platform access is not confirmed from a primary source for Kentucky specifically. Check each platform's official state eligibility page or terms of service.
Start with Kalshi or FanDuel Predicts — both have confirmed availability in Kentucky. Compare fees and market selection before committing.
Compare platformsAll CFTC-licensed platforms require identity verification under Know Your Customer rules. Have a government-issued ID ready. This typically takes a few minutes.
Most platforms accept bank transfer, debit card, or digital wallet. Start small — prediction market prices represent probabilities, so understanding how contracts work before risking real money matters.
How prediction markets workKentucky's HB 904 is one of a small number of state laws specifically addressing CFTC-regulated prediction market platforms. While most states have neither prohibited nor explicitly authorized prediction markets (leaving them under federal CFTC jurisdiction), several states have taken action — through lawsuits, attorney general opinions, or legislation — to restrict or regulate access.
As of mid-2026, states with active restrictions or litigation affecting prediction market access include Nevada, New Jersey, Maryland, Massachusetts, Michigan, Ohio, Arizona, Illinois, and others. Kentucky is notable as one of the first states to pass legislation creating a state-level framework that coexists with — rather than challenging — CFTC authority.
