In a landmark victory for prediction markets, the Third U.S. Circuit Court of Appeals upheld preliminary injunctive relief Monday, allowing Kalshi to continue offering event contracts under exclusive CFTC jurisdiction and blocking New Jersey enforcement.
The CFTC has launched an unprecedented legal offensive, suing three states to assert exclusive federal control over prediction market regulation and strike down conflicting state gambling laws.
Tribal nations strike back in federal court, suing Kalshi and Robinhood for enabling illegal sports betting that threatens their exclusive casino monopolies and vital community revenue streams.
The Ninth Circuit just turned its April 16 oral arguments into a quadrupleheader showdown. Kalshi’s dramatic remand appeal joins three major preemption cases, setting the stage for a landmark clash over federal authority in prediction markets.
States have unleashed a powerful new weapon in their regulatory arsenal: first-filed civil enforcement proceedings in state court. The recent preliminary injunction against Coinbase marks a decisive turning point, forcing prediction market platforms to confront swift, enforceable restrictions on unlicensed event contracts.
Congress is racing to regulate prediction markets with a flurry of bipartisan bills targeting insider trading on Polymarket. Yet legal experts warn the core enforcement problems may remain unfixable.
States are striking hard. Washington, Nevada, and Arizona have launched aggressive lawsuits labeling event contract platforms as disguised gambling operations, triggering a high-stakes legal battle over regulation and consumer protection.
Despite a Nevada court order blocking sports betting on Kalshi, users continue placing wagers by simply updating their profile addresses, exposing a major loophole in the platform’s compliance strategy.
On March 12, 2026, the CFTC unleashed sweeping new guidance on event contracts, delivering Staff Advisory 26-08 and an Advance Notice of Proposed Rulemaking that promise to reshape prediction market oversight with unprecedented clarity and rigor.
Senators Adam Schiff and John Curtis introduced bipartisan legislation Monday that would ban sports betting contracts on Kalshi and Polymarket, closing a controversial loophole that critics say circumvents state gambling laws.
