A prediction market platform has successfully obtained a temporary restraining order blocking a recent Tennessee directive that sought to restrict sports-related prediction contracts. The legal move addresses regulatory pressure targeting the sports betting derivatives segment within decentralized finance markets. This development underscores the ongoing tension between state-level authorities and the emerging prediction market industry, as platforms navigate increasingly fragmented regulatory landscapes across U.S. jurisdictions. The court's interim relief suggests potential complications in enforcing blanket bans on prediction markets, signaling broader challenges for states attempting to regulate Web3 financial instruments.