Trump admin sues Utah to save Kalshi from the state's total ban on gambling
The CFTC sued Utah to block its gambling ban against Kalshi, the 10th state sued by the federal agency.Summary
The Trump administration, through the Commodity Futures Trading Commission (CFTC), has sued Utah to prevent the state from enforcing its gambling ban against prediction market Kalshi. Utah, which constitutionally prohibits gambling, sued Kalshi last week to stop it from offering event contracts. The CFTC claims exclusive federal jurisdiction over such contracts under the Commodity Exchange Act, arguing that state laws cannot obstruct CFTC-registered markets. This is the 10th state sued by the CFTC, which has also filed supporting briefs for Kalshi in appeals. The lawsuit was filed in the same federal district court where Utah previously won a ruling that federal law does not preempt its anti-gambling laws. Kalshi is appealing that decision, but its request for an injunction was denied. With circuit courts split on the issue, the Supreme Court is likely to resolve whether states can regulate prediction markets.
(Source：Ars Technica)