In a decision on Tuesday, US District Judge Analisa Torres in Manhattan said Kalshi did not deserve a preliminary injunction, because the federal Commodity Exchange Act did not supersede New York's gambling laws as applied to Kalshi's sports-event contracts.

A federal judge denied Kalshi's preliminary injunction in New York, deepening a circuit split over whether prediction markets are financial products or

Judge Analisa Torres of Ripple fame denied Kalshi a preliminary injunction, finding NY gambling laws aren't preempted by the Commodity Exchange Act.