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It is absolutely legal and quite frankly common. I used to raise steer for a guy that owned a deer farm and a neighbor down the road raised elk. You just need high fencing and the money is in the freakish antler genes. Venison market, hides, antler spray for workout supplements, chandelier pieces, doe urine lures for hunters, stock for high fence hunting operations, etc. The guy who owned this buck made a fortune breeding it and at one point it was stolen by an amish guy and renamed Goliath iirc before it was returned. The bigger the antlers the bigger the payday from LARPing trophy hunting dentists, the more byproducts you can sell, and the higher the value of the studs.
