Utah sues Kalshi, saying it’s ‘the manager of a back-alley gambling den’
Summary
Utah has filed a lawsuit against Kalshi, accusing the prediction market platform of operating as "the manager of a back-alley gambling den" and engaging in a "brazen pattern of unlawful conduct." The state seeks to halt Kalshi's wagering services in Utah, mandate a geolocator tool to enforce the ban, and recover millions in fees earned from Utahns' bets and losses. Attorney General Derek Brown emphasized the lawsuit targets the companies, not the over 32,000 Utahns with verified accounts. Gambling is constitutionally illegal in Utah, and the state argues Kalshi's event contracts are indistinguishable from traditional sports betting, as Kalshi acts as market maker, facilitates bets, and settles wagers. The complaint details various wagers, including sports, elections, politics, and culture, and estimates Kalshi made $30.6 million to $61.2 million in fees, with Utahns losing $5.5 million. This legal action is part of a broader national conflict, with other states also suing Kalshi, and follows a prior federal case where a judge sided with Utah.
(Source:Google News)