What's legal
Minnesota has no legal sports betting. Tribal casinos, the state lottery and charitable gambling are allowed, but wagering on sports is not authorized for any operator, online or in person. No licensed US sportsbook app works in the state, and no state agency licenses one.
The state's gambling offenses sit in sections 609.75 to 609.76 of the criminal code. Minnesota has eleven tribal nations that run casinos, and their gaming rights are central to any plan to add sports betting.
Crypto and offshore sites
Because nothing is licensed, there is no regulated way to bet on sports in Minnesota with dollars or crypto. Offshore crypto sportsbooks that accept Minnesota players hold no US license, and no Minnesota regulator oversees them.
Using one does not make the bet legal, and if a payout is refused you have no state agency to complain to. Offshore crypto sportsbooks are not licensed in any US state.
What's changing
Lawmakers keep trying. HF 4204, a sports betting bill with Senate companion SF 4139, was introduced on March 12, 2026 and referred to the House Commerce Finance and Policy committee. The legislature's bill record shows no further action.
Prediction markets were the larger 2026 development. Gov. Tim Walz signed a law on May 18, 2026 that makes it a felony to run a prediction market platform and bans advertising for prohibited bets, including sports bets, from August 1. The CFTC sued the next day, and Kalshi and Polymarket filed their own suits. On July 27, 2026, U.S. District Judge Katherine Menendez put the ban on hold with a preliminary injunction until the cases are decided.
Tax on winnings
Minnesota taxes gambling winnings as ordinary income at graduated rates of 5.35, 6.8, 7.85 and 9.85 percent for tax year 2026, plus federal tax, even though sports betting is not licensed in the state. Keep records and ask a tax professional about your own return.
Common questions
Is sports betting legal in Minnesota?
No. It is not legal in person or online, and the 2026 bill HF 4204 never advanced past its first committee.
Is crypto sports betting legal in Minnesota?
No licensed option exists. Offshore crypto sportsbooks hold no US license, and Minnesota regulates none of them.
Is Kalshi blocked in Minnesota?
Not for now. Minnesota's prediction market ban was signed on May 18, 2026, but a federal judge issued a preliminary injunction on July 27, 2026 that keeps it from taking effect.
