CFTC Orders Kalshi to Keep Operating in New York Despite Federal Court Order
Updated
Updated · Common Dreams · Aug 13
CFTC Orders Kalshi to Keep Operating in New York Despite Federal Court Order
3 articles · Updated · Common Dreams · Aug 13
Summary
The CFTC said Tuesday it used emergency authority to order Kalshi to keep operating in New York even after a federal judge denied the platform’s bid to block state gambling enforcement.
New York sued Kalshi late last month, alleging it runs an illegal, unlicensed gambling operation and seeking to halt the business, recover illegal gains and secure restitution for users.
Consumer advocates including Better Markets and Public Citizen called the move a lawless overreach, saying the agency is directing Kalshi to ignore a federal court and state law.
The clash reflects a broader fight over who controls prediction markets: the Trump-led CFTC says federal law gives it sole authority, while states argue the agency is exceeding its powers.