Amid legal turmoil, Kalshi is temporarily banned in Nevada
TechCrunch • • business
Key Points:
- Kalshi, an online prediction market, is facing legal challenges in multiple states, including a 20-count criminal complaint filed by Arizona's attorney general accusing it of illegal gambling.
- Nevada has temporarily banned Kalshi from operating after its Gaming Control Board sued the company for operating without proper gaming licenses and allowing underage users, with a judge granting a temporary restraining order.
- The Nevada court ruled that Kalshi’s commission-based model constitutes a "percentage game," classifying it as gambling under state law, despite Kalshi’s argument that federal regulation by the Commodity Futures Trading Commission (CFTC) exempts it from state laws.
- Federal regulators, including CFTC Chairman Mike Selig, have defended Kalshi and criticized state legal actions, framing
