A federal court ruled that Nevada gambling law applies to sports-event contracts offered by Kalshi, according to the report. Kalshi disagreed and said it would continue challenging the decision; the court sent the dispute over election contracts back to a lower court without a final merits ruling on that category.
The ruling affects Kalshi’s ability to offer sports-event contracts in Nevada while its challenge continues.
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It was reported that Nevada congressmen introduced a bipartisan proposal against sports-based prediction markets. The proposed Prediction Markets are Gambling Act would prohibit exchanges from listing sports and casino-style contracts.
US District Judge Jacqueline Scott Corley granted a preliminary injunction in Blue Lake Rancheria v. Kalshi in California on Wednesday. The order bars Kalshi from offering sports contracts on the plaintiff tribes’ lands and requires the tribes to provide boundary maps by 13 November; Kalshi must report its compliance steps within 21 days.
A San Francisco federal judge has blocked Kalshi from listing sports event contracts on land belonging to the California tribes that are suing it. Judge Jacqueline Scott Corley, who sits in the Northern District of California, granted the tribes a preliminary injunction on Wednesday in the case Blue Lake Rancheria v. Kalshi.
It was reported that an Illinois federal judge found Kalshi's sports event contracts likely qualify as swaps late the previous week. The outlet also reported that Ohio regulators had launched a separate enforcement push against prediction markets.
A federal judge in Illinois has found that sports event contracts offered by Kalshi are likely swaps under the Commodity Exchange Act (CEA), and that several Illinois laws regulating those contracts are likely preempted by federal law. U.S. District Judge Martha Pacold granted the plaintiffs' preliminary injunction requests in part, according to the ruling. The plaintiffs were Kalshi, Coinbase and the CFTC, acting against state regulators.
A federal judge granted a joint request by Novig and Massachusetts officials to pause litigation over Novig’s sports-related event contracts. The stay lasts until the Massachusetts Supreme Judicial Court rules on Kalshi’s appeal; separately, Novig and New Mexico officials requested a stay of their case until 13 August 2027.
Native American tribes urged the CFTC and SEC to exclude prediction market sports contracts from their proposed swap definition, citing Law360. The tribes argue that federal oversight would divert tribal gaming revenue and conflict with the Indian Gaming Regulatory Act.