Appeals Court Ruling Strengthens State Authority Over Kalshi Event Contracts

Kalshi has suffered a legal setback after the latest U.S. appeals court ruling upheld state authority over prediction markets and event contracts, according to CoinDesk. The decision adds to an emerging divide among federal courts over which level of government can regulate these markets. The split could extend the legal uncertainty surrounding Kalshi’s operations and the broader treatment of event-based contracts in the United States. With federal courts now appearing to take differing positions, the dispute may ultimately require review by the U.S. Supreme Court. The ruling is significant for the prediction-markets sector because it reinforces the role of state powers while leaving the broader regulatory question unresolved. No immediate changes to crypto assets were specified in the source, but the case could remain relevant to market participants tracking the legal framework for event contracts.