New York sues prediction market platform Kalshi alleging 'illegal gambling operation'
New York officials sued Kalshi, alleging it operates an illegal, unlicensed gambling platform involving sports wagering.Summary
New York officials have filed a lawsuit against prediction market platform Kalshi, alleging the company operates an "illegal, unlicensed gambling operation" that includes sports wagering. The state is seeking to halt Kalshi's operations and is requesting approximately $36 billion in damages, including the forfeiture of illegal gains and fines.
The legal battle highlights a jurisdictional conflict between states and the federal government. While Kalshi argues it is a federally regulated exchange similar to a stock market, New York officials contend that the platforms meet the legal definition of gambling because outcomes are uncertain and outside the bettor's control.
This lawsuit follows similar actions by New York against Coinbase and Gemini. It also occurs amidst a broader national struggle, as federal courts have recently issued temporary blocks on state laws attempting to ban or regulate prediction markets, citing potential conflicts with federal jurisdiction.
(Source：Bnn Bloomberg)