- Kalshi lost a legal challenge to New York's gambling laws, with a federal judge rejecting its request to avoid enforcement.
- The judge ruled that federal registration with the CFTC does not exempt Kalshi from state gambling laws, allowing New York to regulate tangential issues.
- New York officials praised the ruling, emphasizing consumer protection and accountability for gambling platforms, including prediction markets.
- Kalshi is appealing the decision to a higher court, highlighting ongoing legal battles over state vs. federal regulation of prediction markets.
- The CFTC has a more lenient stance on prediction markets than states, and Kalshi and rival Polymarket have ties to Donald Trump Jr.