Operator v. state
Coinbase Financial Markets, Inc. v. Nessel
U.S. District Court for the Eastern District of Michigan, 4:25-cv-14092
On appeal
Judge Shalina D. Kumar denied Coinbase a preliminary injunction in early August 2026; Coinbase appealed (6th Cir. No. 26-1693). Coinbase then stipulated to stop offering new sports contracts in Michigan by Oct. 10, 2026.
The question
Whether the Commodity Exchange Act preempts Michigan gambling or sports-wagering law as applied to event contracts listed on a CFTC-designated contract market.
Coinbase's derivatives entity sued Michigan officials over application of state gaming law to its event contracts. After the preliminary-injunction phase it appealed, and it has agreed to wind down new sports contracts in Michigan.
Docket timeline
Coinbase stipulates to stop new sports contracts in Michigan by Oct. 10, 2026.
Source: defirate.com
Judge Shalina D. Kumar denies Coinbase's preliminary-injunction motion (reported Aug. 7, 2026; exact order date not confirmed).
Source: theblock.co
Appeal docketed in the Sixth Circuit.
Source: dockets.justia.com
Hearing set on the PI motion before Judge Shalina D. Kumar (notice entered May 26, 2026).
Source: dockets.justia.com
Stipulated order governing enforcement actions entered.
Source: dockets.justia.com
Preliminary-injunction motion filed.
Source: dockets.justia.com
Complaint filed.
Source: dockets.justia.com
Sources
- Justia docket: Coinbase Financial Markets v. Nessel, E.D. Mich. 4:25-cv-14092
- Justia docket: Coinbase Financial Markets v. Nessel, 6th Cir. 26-1693
- DeFi Rate prediction market lawsuit tracker (updated 2026-10-20)
- The Block: Michigan judge denies Coinbase bid (2026-08-07)
- SBC Americas: Coinbase denied Michigan preliminary injunction (2026-08-07)
- Gaming.net: Coinbase to end Michigan sports event contracts under state stipulation