Arizona federal judge blocks state prosecution of Kalshi
A federal judge in Arizona issued a preliminary injunction on 5 May blocking state prosecutors from pursuing gambling-related charges against Kalshi, according to the report. The judge ruled that federal law likely pre-empts Arizona gambling statutes in this case because Kalshi operates under Commodity Futures Trading Commission oversight; the state had brought 20 misdemeanor counts.
The injunction prevents Arizona from proceeding with its charges while the court dispute over federal and state authority continues.