An appeals court sided with a lower court's ruling that prediction markets platform Kalshi failed to show that the federal government preempts Nevada’s authority to regulate sports betting.
On Friday, the U.S.
Court of Appeals for the Ninth Circuit said in its opinion that Kalshi does not get to have an injunction after the Nevada Gaming Control Board sent the company in 2025 a cease-and-desist letter demanding that it stop its election and sports event contracts in the state, threatening criminal or civil charges.
Kalshi then sued the gaming board and the state and asked for a preliminary injunction to prevent Nevada from regulating its trading of sports and election event contracts.
The district court initially granted that injunction, but later dissolved it after a ruling made against Crypto.com.
