Washington state court blocks Kalshi's sports prediction markets via preliminary injunction, citing violation of state gambling laws.
Regulation & Gov ·
A Washington state court issued a preliminary injunction blocking Kalshi's sports prediction markets, finding that the platform operates illegal gambling activities under state law. The court granted the state's motion, effectively halting Kalshi's operations in the jurisdiction while legal proceedings continue.
The injunction reflects an ongoing tension between prediction market platforms and state gambling regulations. Kalshi has positioned itself as offering regulated financial derivatives rather than gambling, but Washington's court disagreed with that characterization, determining the activity violates the state's gambling statutes regardless of how the platform frames its product.
The outcome remains subject to further litigation, and it is unclear whether Kalshi plans to appeal or modify its operations to comply with Washington requirements. The decision may influence how other states approach similar prediction market platforms and their legal standing.