Court hands states a win in fight over who regulates prediction markets

A federal appeals court ruled that states possess the authority to regulate prediction markets, such as Kalshi, as gambling. This 3-0 decision by the Ninth Circuit Court of Appeals represents a significant legal victory for state regulators, specifically following a case originating in Nevada. While this ruling marks a major milestone for state oversight of the booming industry, legal experts anticipate that the Supreme Court will ultimately settle the matter as related lawsuits remain pending nationwide.