Kalshi asks Arizona federal court to block state enforcement over prediction markets
Kalshi filed a complaint in federal court in Arizona on 12 March, seeking a temporary restraining order and preliminary injunction against potential state enforcement, the company said. Arizona gaming officials had warned that its offerings could constitute unlicensed wagering and issued a cease-and-desist notice last year. Kalshi argues federal derivatives law takes precedence over state gambling rules.
The court’s decision could clarify whether Arizona may enforce gambling rules against Kalshi’s event contracts.