
Ninth Circuit: States can regulate prediction markets as gambling
A Ninth Circuit panel ruled that states may regulate prediction markets like gambling, a major blow to Kalshi and other platforms that have operated under federal licenses. The decision, which ties Kalshi’s sports-event contracts to sports gambling and allows state gaming laws and taxes to apply, could empower states to shut down certain prediction sites and creates a circuit split with the Third Circuit, setting up potential Supreme Court review as related cases progress nationwide.







