Kalshi Faces Legal Uncertainty as Ninth Circuit Rules Against Prediction Markets

A Ninth Circuit panel ruled 3-0 that Nevada can enforce gambling laws against Kalshi's sports contracts, creating a conflict with a previous ruling that placed the platform under CFTC oversight. Kalshi's Head of Institutional, Andy Ross, argued that prediction markets differ from sportsbooks, noting that the platform is primarily used by businesses such as ice cream shops and boat charters to hedge operational risks.