Federal judge lets Utah enforce its anti-gambling laws on the prediction market Kalshi
A federal judge ruled that Utah can enforce anti-gambling laws against prediction markets like Kalshi.Summary
A federal judge has ruled that Utah is permitted to enforce its strict anti-gambling laws against prediction markets such as Kalshi and Polymarket. The decision comes after Kalshi filed a lawsuit to prevent Utah from enforcing restrictions on proposition betting, which is a major revenue source for these platforms.
The ruling by U.S. District Judge Robert Shelby rejected Kalshi's argument that federal law preempts state regulations. While the Commodity Futures Trading Commission has defended prediction markets as financial instruments, Utah's attorney general, Derek Brown, maintains that "Gambling is gambling, no matter what any company calls it."
The legal landscape remains fragmented, with different states seeing different outcomes in similar lawsuits. While some states have sided with Kalshi, others like Maryland and New York have ruled against them. The battle also carries political and cultural weight, with Utah leaders viewing the restriction of gambling as a moral necessity.
(Source：WDIV ClickOnDetroit)