WA Judge Finds Kalshi’s Prediction Markets Illegal, Orders Bets Shut Down
A King County, Washington, judge ruled Kalshi’s online “prediction markets” for sports and other topics violate state gambling laws, issuing a final injunction that blocks most WA bets and requires Kalshi to implement a geofence by Sept. 2, 2026, with potential $120,000 daily penalties for noncompliance. Kalshi disputes the decision, arguing federal jurisdiction lies with the CFTC, and the ruling fits into a broader, multi-state legal fight over whether prediction markets are legal. Commodities and some finance-related bets remain exempt from the order.