The crypto-based prediction market Polymarket is going to battle against the state of Massachusetts.

Polymarket’s chief legal officer, Neal Kumar, says the firm has filed a federal lawsuit against the state, highlighting jurisdictional questions about event contracts.

“Congress gave the CFTC, not states, exclusive authority over event contracts. These are national markets with critical questions that must be resolved in federal court. 

Racing to state court to try to shut down Polymarket US and other prediction markets doesn’t change federal law — and states like MA and NV that have done so will miss an amazing opportunity to help build markets for tomorrow.”

Last September, Massachusetts filed a complaint against one of Polymarket’s competitors, Kalshi, arguing that the firm was operating in violation of the state’s sports wagering laws. Kalshi attempted to dismiss the state’s preliminary injunction, but a judge swatted down the firm’s argument last month.

In Polymarket’s new lawsuit, the firm says it “seeks to prevent imminent and irreparable harm arising from Massachusetts’s enforcement of state gambling laws against federally regulated derivatives exchanges—enforcement Congress has expressly prohibited.”

Polymarket’s Massachusetts filing follows a similar action in Nevada last week, after a state court ordered the firm to halt operations.