Kalshi court losses pile up as judges refuse to block state gambling laws
A federal appeals court denied Kalshi's request to block state gambling laws, adding to its legal losses.Summary
A three-judge panel ruled Tuesday that Kalshi failed to meet the standard for an injunction pending appeal, allowing states to enforce gambling laws against the prediction market. The same panel also declined to overturn Coinbase's loss against Connecticut in a related case. This follows a September loss in the Sixth Circuit, where Ohio and Tennessee were permitted to enforce their gambling laws against Kalshi. Meanwhile, the Trump administration's CFTC has sued ten states, asserting exclusive federal authority over prediction markets. Kalshi's major win came in April in the Third Circuit, which ruled New Jersey cannot regulate its sports bets because they qualify as swaps under federal law. However, other courts have disagreed, and New Jersey has petitioned the Supreme Court, supported by 39 states and DC.
(Source：Ars Technica)