Prediction markets’ regulation draws closer to Supreme Court
The filing follows a circuit split over whether sports-related prediction contracts are gambling or federally regulated swaps, with the Supreme Court given about 90 days to decide.
- On Wednesday, New Jersey Attorney General Jennifer Davenport filed a Supreme Court petition seeking to resolve whether states can block prediction markets or whether these platforms constitute federally regulated swaps rather than illegal gambling.
- Litigation has erupted across at least 20 states, with courts currently split on whether prediction markets violate state gambling laws; companies like Kalshi claim their products are federally regulated swaps rather than sports bets.
- A recent Ninth Circuit Court of Appeals ruling supporting Nevada's laws created a conflict with earlier decisions, and legal expert Daniel Wallach notes the high court reverses lower courts roughly 70% of the time.
- The Supreme Court now has about 90 days to decide whether to grant the petition, while Kalshi will have 30 days to respond once docketed, marking the first certiorari petition on this business model.
- Analysts suggest the Supreme Court might wait for the Commodity Futures Trading Commission to finalize its event contract rulemakings, as final rules would likely face Administrative Procedures Act challenges signaling the issue is not yet ready for review.
21 Articles
21 Articles
Kalshi court split could fragment US prediction markets: expert
With 38 active cases across 21 states, conflicting federal rulings over Kalshi have raised the risk that U.S. prediction-market access will fragment by location and trading venue, Kalshinomics co-founder Aaron Courtney has told crypto.news. Courtney, who co-founded prediction-market analytics platform…
Betting on everything. The US Supreme Court has taken on bookmakers The fight over prediction markets is reaching the highest judicial level
Betting on everythingThe US Supreme Court has taken on bookmakersThe fight over prediction markets is reaching the highest judicial level. New Jersey has appealed to the US Supreme Court to decide who should control sites like Kalshi and...
A $1 trillion market hangs in the balance of crypto dramas * WorldNetDaily * by William Murray, Real Clear Wire
Source link Two competing crypto-blockbusters are showing through mid-September. The political drama Clarity Act, a single-screen showing at the Congress venue on Capitol Hill, is about a group of Democratic senators who must decide whether to support a federal regulatory framework for cryptocurrencies. On a much broader release, “screens” across the country are showing the courtroom
Kalshi’s general counsel looks to Supreme Court after New Jersey appeal
The chief regulatory officer for the nation’s largest prediction market may soon have to convince the U.S. Supreme Court that the emerging industry is fundamentally different from sportsbooks in a high-stakes legal battle between the states and the federal government. The post Kalshi’s general counsel looks to Supreme Court after New Jersey appeal first appeared on Arizona Capitol Times.
Polymarket and Kalshi face possible regulation as Supreme Court 'monitors the situation'
Prediction markets regulated as gambling platforms by individual states? What a concept! Picture it: Prediction markets like Kalshi, platforms which allow users to make "predictions" on almost anything for financial gain, platforms which are plagued with accusations of insider trading, are actually regulated by U.S. state governments under gambling laws.It could be a future possibility, if …
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