Close Menu
  • Coins
    • Bitcoin
    • Ethereum
    • Altcoins
    • NFT
  • Blockchain
  • DeFi
  • Metaverse
  • Regulation
  • Other
    • Exchanges
    • ICO
    • GameFi
    • Mining
    • Legal
  • MarketCap
What's Hot

Tether reports $1.5 billion Q2 profit and boosts gold reserves

17/08/2026

Why Polygon’s CEO Had to Clarify His Own Layoff Announcement

17/08/2026

RIOT stock gains 4.7% as JPMorgan lifts target to $22

17/08/2026
Facebook X (Twitter) Instagram
  • Back to NBTC homepage
  • Privacy Policy
  • Contact
X (Twitter) Telegram Facebook LinkedIn RSS
NBTC News
  • Coins
    1. Bitcoin
    2. Ethereum
    3. Altcoins
    4. NFT
    5. View All

    Bitcoin’s $60K floor? Nansen CEO says BTC won’t revisit those levels, but not everyone agrees

    17/08/2026

    Spot Bitcoin ETFs See $1B Weekly Inflows, Highest Since April

    17/08/2026

    Bitcoin Price Prediction: Can BTC Reclaim $70K?

    17/08/2026

    Where to Track BIP-110’s Showdown Live

    17/08/2026

    FG Nexus dumped all its Ethereum at a $45 million loss to buy mobile home parks—after earning just $144,000 in staking rewards

    16/08/2026

    Ethereum Foundation Ditches Poseidon Hash for SHA2 and BLAKE2s on Layer One

    16/08/2026

    Gaming firm GameSquare boasts a $26M Ethereum fortune, but quiet debt fine print leaves just $2.1M in real cash

    16/08/2026

    Ethereum’s post-quantum roadmap puts banks on a 2027 deadline nobody is talking about

    16/08/2026

    Why Polygon’s CEO Had to Clarify His Own Layoff Announcement

    17/08/2026

    Cardano Founder Says Midnight Japan Announcement Is Still on Track Despite SBI–Solana Deal

    17/08/2026

    Shiba Inu Misses Historic Chance as T. Rowe Price Launches Active Crypto ETF Without SHIB

    17/08/2026

    Ansem says token buybacks cannot fix weak crypto valuations

    17/08/2026

    Artprice’s AI-First Shift Raises the Stakes for NFT and Tokenized Art Valuation

    15/08/2026

    Robinhood Chain NFT Volume Surges Past Ethereum, But Analysts Warn of FOMO

    14/08/2026

    Jeffrey Huang Sells BAYC NFT at Loss to Sustain ETH Long Position

    14/08/2026

    Spritehood NFTs raise $1.28M on Robinhood Chain

    12/08/2026

    Tether reports $1.5 billion Q2 profit and boosts gold reserves

    17/08/2026

    Why Polygon’s CEO Had to Clarify His Own Layoff Announcement

    17/08/2026

    RIOT stock gains 4.7% as JPMorgan lifts target to $22

    17/08/2026

    Bitcoin’s $60K floor? Nansen CEO says BTC won’t revisit those levels, but not everyone agrees

    17/08/2026
  • Blockchain

    Robinhood’s Kerbrat pushes tokenization as memecoins rule its token-less L2

    17/08/2026

    Tether CEO Paolo Ardoino Denies Reports of Company Building Its Own Blockchain

    17/08/2026

    BIP-110 Breakaway Chain Faces a Long Fight to Survive

    17/08/2026

    MUFG to test real-time blockchain settlement for Japanese government bond trades

    16/08/2026

    Koscom and NH Investment & Securities Partner to Advance Tokenized Securities Platform

    15/08/2026
  • DeFi

    Neutrl pauses NUSD redemptions over undisclosed reserve issue

    14/08/2026

    Uniswap Founder Says Team Renounced Creator Fees From Employee Testing

    14/08/2026

    SushiSwap-Backed Pools.fun Announces Protocol Token Launch with Buyback and Airdrop Plans

    13/08/2026

    ‘DeFi doesn’t exist anymore,’ just onchain finance: Andre Cronje

    13/08/2026

    Ether.fi rolls out next-generation neobank services

    13/08/2026
  • Metaverse

    Is Solana Gaming Back? Kintara Activity Fuels Renewed Optimism in Onchain MMOs

    24/06/2026

    The Sandbox launches AI game engine ‘The Sandbox Studio’ for next-generation creators

    10/06/2026

    Meta commits $13M in funding for Oversight Board through 2028

    29/05/2026

    Why Animoca’s Yat Siu says the future is 100 billion AI agents

    07/05/2026

    ‘8,000 Jobs’—Polymarket Sees Tech Layoff Surge As Meta AI Push Bites

    18/04/2026
  • Regulation

    Tether reports $1.5 billion Q2 profit and boosts gold reserves

    17/08/2026

    Quantum computing nears commercial breakthrough, IBM CEO says

    17/08/2026

    How Tokenization Is Opening Maritime Shipping Funds

    17/08/2026

    AI Economy Can Jumpstart Dollar Stablecoin Dominance

    17/08/2026

    Three Members Explain Why They Want an Interest Rate Hike!

    17/08/2026
  • Other
    1. Exchanges
    2. ICO
    3. GameFi
    4. Mining
    5. Legal
    6. View All

    RLUSD’s Next Big Move? Google and Mastercard Integration Fuel AI Payments

    17/08/2026

    The good and the bad of perps, according to crypto traders

    17/08/2026

    Crypto exchanges’ traditional assets hit $1.45T volume in H1 2026

    17/08/2026

    Crypto Card Services Suspended at Ready and Solflare After Kulipa Bankruptcy

    17/08/2026

    ICO market slows sharply with only six completions in 2026

    30/04/2026

    South Korea Poised to Lift Ban on Domestic ICOs After 7 Years

    19/12/2025

    Why 2025’s Token Boom Looks Both Familiar and Dangerous

    31/10/2025

    ICO for bitcoin yield farming chain Corn screams we’re so back

    22/01/2025

    GameShame Studios founder details Raijin Protocol’s roadmap in NeoPod’s sixth AMA

    13/08/2026

    How BC.GAME is turning players into stakeholders

    04/08/2026

    YGG Play Shuts Down Services as Yield Guild Pivots to AI Data

    01/08/2026

    why gameplay now beats crypto rewards

    29/07/2026

    RIOT stock gains 4.7% as JPMorgan lifts target to $22

    17/08/2026

    Bitdeer Sells All 253.4 BTC Mined This Week, Continuing Zero-Treasury Policy

    15/08/2026

    Why the world’s second-largest Bitcoin mining power is shutting down rigs in its capital city

    15/08/2026

    Bitcoin Hashrate Slips 17% Off Record as Miners Chase AI

    15/08/2026

    U.S Treasury Secretary slams Democrats’ CLARITY Act holdout

    16/08/2026

    SEC Threatens Own Crypto Rules as Morgan Stanley and BNY Mellon Accelerate Institutional Push

    16/08/2026

    The White House Will Review It This Weekend

    16/08/2026

    Moneyflip CEO charged in $40K murder-for-hire plot

    16/08/2026

    Tether reports $1.5 billion Q2 profit and boosts gold reserves

    17/08/2026

    Why Polygon’s CEO Had to Clarify His Own Layoff Announcement

    17/08/2026

    RIOT stock gains 4.7% as JPMorgan lifts target to $22

    17/08/2026

    Bitcoin’s $60K floor? Nansen CEO says BTC won’t revisit those levels, but not everyone agrees

    17/08/2026
  • MarketCap
NBTC News
Home»Legal»Kalshi sports prediction markets blocked in Washington court ruling
Legal

Kalshi sports prediction markets blocked in Washington court ruling

NBTCBy NBTC27/07/2026No Comments5 Mins Read
Share
Facebook Twitter LinkedIn Pinterest Email


A Washington state judge has granted a preliminary injunction that will block Kalshi from offering sports-related prediction markets to residents, adding another court setback for the federally regulated event-contract platform.

King County Superior Court Judge John McHale granted Washington’s request on July 20, finding that the state was likely to succeed in its case against Kalshi. However, the order will not take effect before Aug. 5. The court will review additional submissions from both sides by Aug. 3 before the restriction starts.

BREAKING: Washington state court issues preliminary injunction against Kalshi, finds that the company conducts illegal gambling activities in violation of Washington State gambling laws and that the Commodity Exchange Act does not preempt state gambling laws. pic.twitter.com/pwJeDmYbD5

— Daniel Wallach (@WALLACHLEGAL) July 21, 2026

The ruling centers on a growing legal dispute over whether sports event contracts fall exclusively under federal commodities law or can also face state gambling rules. Kalshi argues that its status as a Commodity Futures Trading Commission-regulated exchange places its contracts under federal jurisdiction. Washington disagrees and considers the sports products illegal gambling when offered without state authorization.

Washington judge rejects Kalshi’s federal preemption argument

Judge McHale ruled that the Commodity Exchange Act does not prevent Washington from applying its gambling laws to Kalshi. The state sued the company in March, accusing it of offering and advertising unlicensed online betting products covering sports, elections and other real-world events.

The court found that consumer protection concerns supported temporary restrictions while the case continues. McHale wrote that Kalshi “offers illegal gambling activities to Washington consumers.” The judge also gave the parties additional time to discuss how Kalshi could protect Washington users while responding to the order.

Kalshi rejected the court’s view of state authority. A company spokesperson told The Block that “States don’t have jurisdiction to regulate prediction markets,” pointing to decisions including a Third Circuit ruling that favored federal oversight. The company said it was disappointed with Washington’s continued enforcement effort.

The Washington Attorney General’s Office originally asked the court to stop Kalshi from operating in the state and sought restitution for affected consumers and civil penalties. The state argues that labeling sports wagers as event contracts does not remove them from Washington gambling laws.

State courts add pressure on Kalshi sports contracts

The Washington order follows similar legal action in other states. In June, a Michigan judge temporarily stopped Kalshi from offering sports event contracts after state officials argued that the company was operating without the licenses required under Michigan gambling law.

That case later created a direct conflict between state and federal regulators. As crypto.news reported, the CFTC blocked Kalshi from unwinding some Michigan positions after the state court ordered the company to stop its sports market activity. Kalshi said the competing instructions left it caught between federal and state requirements.

New York has also won an early court round. As previously reported, a federal judge rejected Kalshi’s request to stop the state from enforcing its gambling laws against sports-related event contracts. The court found that the Commodity Exchange Act did not prevent New York from applying those rules.

In addition, Minnesota has already filed the Washington ruling as supplemental authority in its pending cases against Kalshi, Polymarket and the CFTC, according to attorney Daniel Wallach. Judge Katherine Menendez is expected to rule soon, making the Washington decision relevant to another state-level fight over prediction market regulation.

Minnesota jumps to the head of the line in filing the Washington State court ruling vs. Kalshi as “supplemental authority” in its own pending case vs. Kalshi, Polymarket, and the CFTC. With a ruling from Judge Menendez expected soon, @AGEllison wastes no time in filing. pic.twitter.com/Px8E7CadtT

— Daniel Wallach (@WALLACHLEGAL) July 21, 2026

Wallach said states have won 19 of 23 court decisions involving requests for preliminary injunctions or temporary restraining orders in prediction market cases. Washington is now positioned to join Nevada and Michigan among jurisdictions where Kalshi faces restrictions on sports products.

CFTC and states remain divided over prediction market authority

The CFTC has taken the opposite position from several states. The federal regulator argues that Congress gave it exclusive authority over event contracts offered by registered derivatives exchanges. It has filed lawsuits against several states seeking to stop local gambling rules from reaching federally regulated prediction markets.

As crypto.news reported in April, the CFTC sued New York after the state sought to apply gambling laws to prediction market products. The agency later expanded its legal campaign to other jurisdictions, including New Mexico and Kentucky.

However, court decisions have not produced one nationwide rule. North Carolina has taken a different route.The state passed legislation recognizing federally registered prediction markets and allowing them to operate under a new tax framework from 2027.

The split leaves Kalshi operating under different legal conditions across the U.S. The Washington case will continue after the preliminary injunction stage, and the broader question of federal versus state authority remains before several courts.

Kalshi’s growth continues despite expanding court battles

The legal disputes come as trading activity on prediction markets has grown sharply. Kalshi recorded about $33 billion in monthly trading volume in June, compared with a combined $13.95 billion for Polymarket and its U.S. platform, according to The Block’s data dashboard.

Kalshi has also expanded beyond traditional event markets. The company has explored crypto perpetual futures as it seeks to compete more directly with major digital asset trading platforms. Meanwhile, it has continued defending its core prediction market business against state enforcement actions.

The Washington order does not immediately shut down Kalshi’s sports contracts in the state. The court has delayed enforcement until at least Aug. 5 while it reviews further material from the parties. The case will then continue as Kalshi argues that federal derivatives law protects its products from state gambling regulation.


Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
NBTC

NBTC is the editorial account for NBTC News, covering Bitcoin, Ethereum, DeFi, blockchain infrastructure, exchanges, mining, regulation and digital asset markets. The editorial team focuses on clear sourcing, timely updates and practical context for crypto readers.

Related Posts

U.S Treasury Secretary slams Democrats’ CLARITY Act holdout

16/08/2026

SEC Threatens Own Crypto Rules as Morgan Stanley and BNY Mellon Accelerate Institutional Push

16/08/2026

The White House Will Review It This Weekend

16/08/2026

Moneyflip CEO charged in $40K murder-for-hire plot

16/08/2026
Add A Comment

Comments are closed.

Top Posts
Get Informed

Subscribe to Updates

Get the latest news from NBTC regarding crypto, blockchains and web3 related topics.

Your source for the serious news. This website is crafted specifically to for crazy and hot cryptonews. Visit our main page for more tons of news.

We're social. Connect with us:

Facebook X (Twitter) LinkedIn RSS
Top Insights

Tether reports $1.5 billion Q2 profit and boosts gold reserves

17/08/2026

Why Polygon’s CEO Had to Clarify His Own Layoff Announcement

17/08/2026

RIOT stock gains 4.7% as JPMorgan lifts target to $22

17/08/2026
Get Informed

Subscribe to Updates

Get the latest news from NBTC regarding crypto, blockchains and web3 related topics.

Type above and press Enter to search. Press Esc to cancel.