Goodwin partners Andrew Kim and John Servidio write in the New York Law Journal that the recent boom in prediction markets has threatened to disrupt the multi-billion-dollar sports wagering industry, with prediction market operators claiming the ability to offer their platforms nationwide without the legal obstacles that bog down online gaming and gambling. In the month of March alone, prediction market operators saw hundreds of millions of dollars in trading volume for sports-related event contracts. State gambling regulators have begun asserting jurisdiction over these platforms, arguing that event contracts are really “pools,” “bets,” or “wagers” on sporting events, all of which require a sports wagering license issued by a state gaming regulator. At least six states—Illinois, Maryland, Montana, Nevada, New Jersey, and Ohio—have issued cease and desist letters directing prediction markets to stop offering their services, and other state regulators are reportedly investigating prediction markets, too.