Connecticut sues Kalshi over alleged 'illegal, unlicensed' sports betting operation
The state says Kalshi lacks sportsbook licenses and consumer safeguards, while the company argues federal derivatives law bars state regulation.
- On Thursday, Connecticut sued Kalshi to block unlicensed sports gambling, with Attorney General William Tong, Consumer Protection Commissioner Bryan T. Cafferelli, and Governor Ned Lamont seeking an injunction to stop the platform's sports event contracts.
- Officials maintain that contracts tied to sporting outcomes fall under state gambling laws, while Kalshi argues federal oversight under the Commodity Exchange Act preempts state authority over the products.
- This litigation joins a growing collection of cases involving more than a dozen states; recent federal rulings in New York and Connecticut denied Kalshi's requests for injunctions, allowing state enforcement to proceed.
- Jovy Dedaj, Kalshi's head of litigation, criticized the suit as 'arbitrary and inconsistent' enforcement, while the company appeals an earlier federal ruling to the Second Circuit.
- The Commodity Futures Trading Commission is also suing states, including Connecticut, to defend its exclusive authority over prediction markets, leaving the jurisdictional question unresolved across federal and state proceedings.
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Connecticut sues Kalshi to block alleged unlicensed sports gambling
An app for Kalshi, an online prediction market site, is shown on Feb. 25, 2026, in Chicago. Online prediction market platforms allow people to place bets on wide-ranging subjects such as sports, finance, politics and currents events. (Photo Illustration by Scott Olson/Getty Images) (NEW YORK) — The state of Connecticut sued Kalshi on Thursday to block alleged unlicensed sports gambling offered by the online betting platform, the Office of the At…
Connecticut sues Kalshi over unlicensed sports event contracts
Connecticut has sued Kalshi and asked a court to block the prediction market platform from offering sports event contracts that state officials classify as unlicensed sports wagering. The Connecticut Attorney General’s Office said Wednesday that Attorney General William Tong, Department…
Connecticut sues Kalshi over alleged 'illegal, unlicensed' sports betting operation
HARTFORD, Conn. (WTNH) — The State of Connecticut has filed a lawsuit against Kalshi, accusing the prediction market company of running an illegal sports wagering operation. The lawsuit, filed on Wednesday, was announced by Attorney General William Tong, Gov. Ned Lamont and Department of Consumer Protection Commissioner Bryan T. Cafferelli. The state is seeking a [...]
Connecticut sues Kalshi over unlicensed sports betting
Attorney General William Tong and other officials announced the State of Connecticut has sued Kalshi and is seeking a court injunction to block the online betting site from offering unlicensed sports wagers in Connecticut.
Connecticut Sues Kalshi to Prohibit Sports Event Contracts, But Immediate Ban Already Rejected
Connecticut officials this week filed a lawsuit to prohibit Kalshi from offering markets it claims is illegal, unlicensed sports betting in the Constitution State. Attorney General William Tong, Gov. Ned Lamont (D), and Department of Consumer Protection Commission Bryan T. Cafferelli filed the lawsuit in Connecticut Superior Court against Kalshi this week seeking a court … Continued The post Connecticut Sues Kalshi to Prohibit Sports Event Contr…
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