New York Sues Crypto Exchanges

The lawsuit seeks to bar the companies from operating these platforms in New York until they comply with state registration and tax obligations.

James argues that the prediction markets fall within the legal definition of gambling and lack the necessary consumer protections.

This move follows similar regulatory actions in other states as officials struggle to oversee the rapidly growing crypto-betting industry.

Both Coinbase and Gemini have previously sparred with federal regulators over the oversight of their digital asset products.