Google bars prediction-market advertising in Connecticut

Google has barred advertising for prediction-market contracts and related products in Connecticut, adding the state to a list of five U.S. jurisdictions excluded from its prediction-market advertising programme.

The restriction took effect immediately when Google posted the policy notice on Oct. 7, with no transition period. It applies to all advertisers targeting Connecticut, and ads aimed at excluded states or locations outside Google’s approved list are not supported under the policy.

Google did not give a reason for adding Connecticut. An AI-generated summary accompanying the update said it was intended to ensure compliance with localized advertising regulations, but Google’s main Prediction Markets policy page still did not list Connecticut among the excluded states as of Oct. 11. The change-log entry was the only Google document identified as naming the state.

Connecticut joins Nevada, Ohio, Michigan and New York on the exclusion list. Nevada was excluded when the programme began, Ohio was added on June 2, and Michigan and New York followed on July 13. Each of the three state additions since June took effect on the day it was announced.

Google opened its advertising system to federally regulated prediction markets on Jan. 21, after publishing the policy on Jan. 5. Certification is limited to CFTC-authorized Designated Contract Markets principally listing exchange-traded event contracts, and National Futures Association-registered brokerages providing access to those contracts. Applications must be filed separately for every location an advertiser seeks to target.

That framework differs from Google’s sports-betting ad policy, which certifies operators state by state on the basis of licences issued by local regulators. Google also excludes advertising for binary options, fixed-return derivatives, games-of-chance markets, trading signals and tips, and affiliate or broker-review sites. Political and election prediction-market ads remain subject to political-content and election-ad verification requirements where applicable.

As we reported in September, Connecticut had ordered nine prediction-market companies to stop advertising, offering or promoting sports-event contracts and other unlicensed online gambling to state residents. The Department of Consumer Protection also required the platforms to permit withdrawals of customer funds and issued nearly 30 subpoenas for its investigation.

State officials said the targeted markets violated Connecticut gaming and unfair-trade-practices laws, including restrictions on betting involving Connecticut collegiate sports. A federal judge in Connecticut ruled in August that sports-event contracts constituted unlicensed gambling and were not protected by federal commodities law.

Connecticut permits online gambling and sports betting through state-licensed operators, while its officials have maintained that prediction-market providers offering sports contracts must comply with state rules.