Connecticut Orders Robinhood, Crypto.com and Kalshi to Cease Unlicensed Betting
On Dec. 4, 2025, Connecticut’s Department of Consumer Protection Gaming Division issued cease-and-desist orders to Robinhood, Crypto.com and Kalshi, alleging the platforms operated unlicensed sports betting services that exposed residents to serious consumer risks. The DCP said the services were not authorized under state law and ordered the firms to halt the activities immediately while investigations proceed.
The move signals intensifying state-level scrutiny of online gambling tied to crypto and could prompt similar enforcement elsewhere. For users, the orders raise immediate questions about account access and funds tied to disputed wagers; platforms may contest the orders in court, but regulators now have a clearer path to fines or injunctions. Market participants and operators should expect tighter compliance expectations as states push to close perceived regulatory gaps.