Ninth Circuit Rules Against Kalshi in Nevada Sports Betting Fight
Summary
The Ninth Circuit ruled that Kalshi failed to show the Commodity Exchange Act preempts Nevada's authority to regulate sports betting, dissolving the preliminary injunction that had blocked state enforcement. This is a significant legal setback for Kalshi's sports event contracts in Nevada, and the CFTC's exclusive jurisdiction claim is now challenged. The ruling creates a circuit split, with the CFTC indicating the case may go to the Supreme Court. Kalshi plans to seek further review. This follows a series of state-level legal challenges, including New York's lawsuit and Wisconsin's ruling, escalating regulatory risk for the platform.
This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: The Block.