Kalshi loses New York court bid over sports prediction markets
The ruling lets New York’s case move forward after the court found state gambling laws are not preempted by the Commodity Exchange Act.
- On Wednesday, Judge Analisa Torres of the Southern District of New York denied Kalshi's request for a preliminary injunction, allowing the exchange's case to proceed to the motion-to-dismiss stage.
- Kalshi argued the Commodity Exchange Act grants the CFTC exclusive jurisdiction over prediction markets, but Judge Torres found New York licensing rules are not squarely contrary to federal law.
- The Court noted states have a long role in gambling oversight, and federal law does not require designated contract markets to offer identical contracts nationwide, legal analyst Daniel Wallach said.
- Sports-Related contracts recently accounted for about 65% of Kalshi's total volume, intensifying operational pressure as the exchange continues courting investors despite the adverse ruling and ongoing litigation.
- CFTC Chairman Michael Selig suggested the dispute could reach the Supreme Court, while gaming organizations asked Congress to exclude sports prediction markets from CFTC oversight through the CLARITY Act.
21 Articles
21 Articles
He knows why Kathy Hochul hardens his stance against Kalshi in New York and how the court ruling can redefine the predictive markets.
Judge rejects Kalshi bid to block New York gambling enforcement law
By Jonathan Stempel NEW YORK, July 8 (Reuters) - A federal judge denied Kalshi's bid to block New York from enforcing its gambling laws against the prediction markets platform, amid a growing battle between federal and state regulators over authority ...
Kalshi appeals after federal judge sides with New York gambling regulators
(Francois Eichinger / Adobe Stock)The online prediction marketplace Kalshi is fighting back against the New York State Gaming Commission’s attempts to regulate it like a gambling site.A federal judge on Tuesday denied Kalshi’s request for a preliminary injunction that would have shielded it from state oversight.“New York’s gambling laws are designed to protect consumers. Kalshi tried to ignore them,” New York Attorney General Letitia James and G…
Kalshi Appeals Court Loss in Sports Prediction Market Fight
Kalshi is appealing a New York federal judge’s rejection of its bid to block state gambling officials from enforcing local laws against the prediction market platform’s sports-related event contracts. In a notice filed on Tuesday in the US District Court for the Southern District of New York (SDNY), Kalshi said it would take the case to the US Court of Appeals for the Second Circuit. The appeal followed a same-day opinion and order denying the …
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