According to the ruling issued by the United States District Court for the Eastern District of Michigan, Judge Shalina D. Kumar denied the application filed by Coinbase Financial Markets on August 6. The firm sought a preliminary injunction to prevent Michigan from regulating sports‑event contracts under state gambling statutes.

The court held that Coinbase failed to demonstrate a likelihood of prevailing on its claims. Its arguments were summed‑up in the verdict as “applesauce”. The Michigan Gaming Control Board (MGCB) has meanwhile been removed from the list of defendants.