Another appeals court rules against prediction market provider Kalshi, says sports contracts are subject to state regulations
Why now
Thesis: Prediction markets face patchwork state rules, not federal cover
Catalyst to watch: Further circuit rulings or Supreme Court review
Main risk: Inconsistent state regimes fragment the market
Why it matters
State-by-state oversight raises compliance costs and legal uncertainty for prediction markets, potentially slowing US expansion of event-contract venues tied to crypto-adjacent trading.
Details
A Sixth Circuit Court of Appeals panel ruled that prediction markets' sports-related events contracts are not swaps, and therefore aren't subject to federal regulatory oversight.
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- coindesk · 2026-09-25 21:17 UTC