The decision is the latest setback for states trying to outlaw or regulate fast-growing prediction market platforms. It would have made it a crime to create or operate prediction markets or help administer nearly any activity connected to one. In a statement Tuesday, Minnesota Attorney General Keith Ellison said prediction markets are “gambling, plain and simple.” But Ellison said the legal issues are complex and that he planned to continue defending the state’s law. In April alone, the federal government sued Connecticut, Arizona and Illinois, challenging their efforts to regulate prediction market operators, while New York sued Coinbase and Gemini, two of the newest players in the prediction market industry.