Prediction market operator Kalshi hits back at Nevada regulator over geofencing fine
State prosecutors say Kalshi missed a court deadline to block Nevada users and could owe $120,000 a day until it complies.
- In a Friday filing in Carson City, The Gaming Control Board accused Kalshi of missing the August 12 deadline to block Nevada users, requesting the court impose fines of $120,000 a day for noncompliance.
- Previously, Kalshi agreed to implement 'a robust, multi-source geofencing solution provided by a third-party commercial provider' to block Nevada residents, utilizing GeoComply, a Nevada-licensed technology company.
- Nevada Attorney General Aaron Ford argued in his Friday motion that Kalshi's August 9 app update left insufficient time for user compliance, as updates can take up to seven days to reach all users.
- Kalshi General Counsel Rick Heaslip called the lawsuit 'a vindictive waste of taxpayer dollars' and alleged state investigators 'actively worked to circumvent' the company's blocking measures by misrepresenting their residence.
- Pending a ruling by the 9th U.S. Circuit Court of Appeals, Kalshi and two other prediction markets face uncertainty regarding the regulatory agency's efforts to ban their operations in Nevada.
9 Articles
9 Articles
Kalshi accuses Nevada investigators of violating federal law in geofencing complaint
Kalshi is pushing back against the state of Nevada’s claims that the prediction market operator failed to comply with geofencing requirements, accusing the state’s gaming regulator of violating federal law. In a motion filed in state court on Friday evening, state prosecutors argued that the firm failed to implement a geofencing solution by Aug. 12…
Prediction market operator Kalshi hits back at Nevada regulator over geofencing fine
Prediction market operator Kalshi accused Nevada's gaming regulator of violating federal law in a statement on Saturday after it sought daily penalties of $120,000 a day over the firm's alleged failure to comply with a geofencing order.
Kalshi Claims Nevada Officials Violated Federal Law While Imposing $120K Daily Penalties
TLDR Kalshi faces potential fines of $120,000 daily from Nevada gaming authorities over disputed geofencing implementation State investigators completed nine transactions on Kalshi’s platform the day following a court-mandated geofencing implementation deadline The platform claims it engaged a state-sanctioned verification provider and alleges investigators falsified location data to circumvent security measures Kalshi confronts concurrent lega…
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