Appeals court rules that states can regulate Kalshi’s sports prediction markets, dealing another legal blow to platforms
- Posted on September 25, 2026
- By CNBC
- 1 Views
- 1 min read
In brief
A federal appeals court has reinforced state authority over sports prediction market platforms, marking the second significant legal setback for Kalshi in as many weeks. The ruling establishes that individual states retain regulatory power over derivatives and event contracts tied to sporting outcomes, challenging the platform's federal regulatory strategy and potentially reshaping how prediction markets operate across the United States.
Summary auto-generated by AI from the original publisher's content. Editorial standards.
Appeals court rules that states can regulate Kalshi’s sports prediction markets, dealing another legal blow to platforms
The decision is the second in less than a month by an appeals court that states have a role in regulating sports-related event contracts.
