Is Novig Legal in California?

Updated: August 28, 2026 at 2:30 pm EDT

Novig is a sports-focused prediction market that is legal in California and 46 other states, as well as Washington, D.C., and allows users to buy and sell event contracts based on the outcomes of sporting events. Novig has recently joined the ever-growing field of Designated Contract Markets (DCMs) after gaining certification from the Commodity Futures Trading Commission (CFTC) after previously operating as a sweepstakes platform.

What sets Novig apart from other prediction markets is that they only offer event contracts for sports. While other platforms offer markets on a range of topics, Novig cuts through the noise for sports fans and gets them straight to the action they are interested in. This focused approach worked out well for the platform as they reported over $125M in trading volume during their first week as a DCM.

New users can claim the Novig Promo Code DIME to unlock $25 in Trade Credits after making a $10 deposit.

Is Novig Legal in California?

Yes, Novig is legal in California. Previously, Novig was operating under a sweepstakes model, where users could purchase Novig Coins, which have no real-world value, to enter sweepstakes where they could win Novig Cash that could be used to participate in peer-to-peer predictions. California, among other states, had placed a ban on sweepstakes model platforms.

However, now that Novig has left the sweepstakes model behind in favor of being a certified DCM, it has opened the doors to several states, including California, that placed a ban on these sweepstakes operators. Now, as a CFTC-regulated prediction market, Novig operates under federal law that makes it legal to trade event contracts on the platform in almost every state.

Along with no longer being restricted in states banning the sweepstakes model, as a prediction market, Novig is free to operate in states that do not allow online sports betting. As a DCM, it is seen as a financial exchange whose operation is overseen by the CFTC and the federal government, regardless of the state’s laws on sports betting. While other states like New York, Michigan, and Nevada have taken legal action in an attempt to gain regulatory power on the state level over prediction markets, California has yet to attempt to block Novig and other prediction markets from operating in that state.

Why was Novig Banned in California?

When California Governor Gavin Newsom signed Assembly Bill 831 into law in October 2025, all sweepstakes gaming that operated using a dual-currency system was banned in the state, ultimately restricting Novig from offering its platform to Californians. This legislation brought California in line with states like Connecticut, Montana, and New Jersey, which had previously banned sweepstakes model platforms.

However, shortly after being banned from California, Novig filed to become a DCM with the CFTC on January 21, 2026. After several months, Novig became a certified DCM on June 16, 2026, and launched its prediction market platform on August 4, 2026. Now, operating with the certification of the CFTC, Novig is no longer banned from California and is able to offer event contracts on its prediction markets to residents in the state.

How does Novig differ from a Sportsbook?

Novig is a Designated Contract Market (DCM) that is regulated by the CFTC and is able to operate throughout the country under the Commodity Exchange Act. With the oversight from the CFTC, Novig does not need a gaming license issued by a state or tribal gaming board and can operate in states where sports betting is not legal.

Unlike a sportsbook, traders on Novig are never playing against the house. On this California prediction market platform, users trade against each other in a peer-to-peer exchange. While bettors on a sportsbook are playing against the house and an oddsmaker who sets the lines, Novig lets the traders set the market price for each event contract.

The clearest delineation from a sportsbook comes from the platform’s name, Novig, meaning there is no “vig” on the trading platform. On sportsbooks, a vig is a built-in fee applied to every bet, but on Novig, there are no fees at all to the user when they buy or sell their contracts.

What Markets are Legal to Trade on Novig in California?

In California, Novig users can buy and sell event contracts on prediction markets for all of their favorite sports teams. Novig has markets for every major sport, including NFL, MLB, NBA, NHL, college football, national and international soccer leagues, men and women’s tennis, UFC, and golf.

Traders can buy contracts on individual game outcomes, like moneyline, spread, and total, along with game and play props. Novig also has featured parlays that update as the day’s slate progresses. Users can also build their own parlays, and Novig will update the slip to show its overall implied win probability and potential payout.

Novig has one of the simplest welcome offers to unlock, as it only requires new users to complete an action that they would like to do with or without a bonus incentive. Below is a step-by-step walkthrough on how to unlock $25 in trade credits using the Novig promo code: DIME.

Claim the Sign-up Bonus: Click the Novig sign-up link here and enter the promo code: DIME. Those on a mobile device, like a phone or tablet, may need to download the Novig app to continue.
Register: Users will then create a new account using their email address or by linking their Apple/Google account, phone number, Social Security Number, photo ID, and place of residence. To meet Know Your Customer (KYC) requirements, users will need to take a selfie to verify their identity with the photo ID uploaded to Novig.
Deposit: Users need to make a deposit of at least $10 to unlock the sign-up bonus. Deposits can be made using Apple Pay, Google Pay, debit and credit cards, direct bank transfers, and cryptocurrency.
Unlock Bonus: Once $10 is deposited into the new user’s account, the $25 in trade credits will be added to their funds. These credits have a 1x playthrough before they can be withdrawn.
Trade: Users can now find the California prediction market they want to trade on and buy event contracts with their bonus trade credits.

Novig vs Other Prediction Markets

Novig has entered a crowded field of legal prediction markets in California, and it can be a challenge to find one platform that is perfect for every type of trader. Below is a breakdown of the best prediction markets in California and how they stack up against Novig.

Kalshi California

Kalshi is a great alternative option for users who are new to prediction markets. It features an easy-to-use interface that makes navigating its massive collection of markets a breeze. Along with being easy for beginners to use, it also features far more market types than Novig. While Novig is focused specifically on sports trading markets, Kalshi opens the door to all categories, including sports, politics, culture, commodities, climate, and technology. Read more about the Kalshi referral code to learn all the ins and outs of one of the biggest prediction market platforms in the U.S.

Polymarket California

Polymarket is a California prediction market for crypto-native traders. To make a deposit on the platform, users will need to fund their account with real-world cash that has been converted into USDC, a stablecoin, in their crypto wallet. The same applies for withdrawals, which will need to be withdrawn from their account to their crypto wallet and then converted into real-world cash. Polymarket’s prediction markets are typically liquidity leaders, so those looking to buy a large position on a prediction market may find that it is easier to buy a big stake on this platform, while still having the market volume to exit early and lock in their gains. New users can claim the Polymarket promo code to get a bonus when they sign up to trade.

Novig California FAQS

What is Novig?

Novig is a legal sports prediction market platform that operates under the regulation of the Commodity Futures Trading Commission (CFTC). Users can buy and sell event contracts for sporting event outcomes on Novig. The platform offers users the ability to trade on sports outcomes without paying a “vig,” or fee, on their trades.

Is Novig Legal in California?

Yes, Novig is a legal prediction market in California. As a Designated Contract Market (DCM) that is regulated by the Commodity Futures Trading Commission (CFTC), Novig can operate in California and 46 other states. Since it adheres to federal law, Novig is free to offer prediction markets in states that have no legalized sports betting, like California.

How old do I have to be to trade on Novig in California?

Novig requires all users to be at least 21 years old to create an account and trade on prediction markets in California. This differs from other prediction markets that only require users to be 18 years old to register.

To claim the best welcome offer, new users can use the Novig promo code: DIME here to unlock $25 in trade credits after making a $10 deposit.

What can I trade on Novig in California?

Novig offers prediction markets on most major sports leagues, including the NFL, NBA, NHL, MLB, MLS, professional men’s and women’s tennis, college football, international soccer leagues, UFC, golf, and more. Users can buy and sell contracts for a game’s moneyline, total, and spread, as well as for game and player props.

Is Novig still banned in California?

Novig is no longer banned in California since it received its certification as a Designated Contract Market (DCM) from the CFTC. Novig was previously banned from operating in California under its sweepstakes model, but it has since become a legal prediction market in California.

Do I pay taxes on Winnings from Novig in California?

Yes, users must pay state and federal tax on their winnings from Novig. While the IRS has yet to formally state how winnings from prediction markets should be filed, tax experts currently recommend filing as ordinary income, though it is best to consult with an accountant on any winnings from Novig before filing your taxes.

Craig Dudek

Creative Manager and Writer at Sportradar. Craig has previously worked as a camera operator and video director in radio and television, as well as a content coordinator in the non-profit sector.

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