BlockBeats news, on March 20, according to Cointelegraph, the U.S. Ninth Circuit Court of Appeals denied Kalshi’s application; the federal appellate court has permitted Nevada regulators to enforce a temporary restraining order against Kalshi, prohibiting it from offering contracts related to sports events.
Previously, the Nevada Gaming Control Board issued a cease-and-desist letter to Kalshi in March, determining that its sports event contracts constituted unlicensed sports betting under Nevada law. Kalshi, however, maintains that its event contracts fall under the exclusive federal jurisdiction of the U.S. Commodity Futures Trading Commission (CFTC), and that any restrictions on these contracts would cause the company “imminent harm.” Attorney Daniel Wallach stated that a temporary restraining order against Kalshi “appears imminent,” and because TROs are not appealable under Nevada law, Kalshi will be forced to exit the Nevada market for at least 14 days—until the preliminary injunction hearing.
Currently, Kalshi and its competitors—Polymarket, Crypto.com, Coinbase, and other prediction market platforms—are facing legal challenges from regulatory authorities in multiple states, including Nevada, Connecticut, New York, and New Jersey. According to Dune Analytics data, trading volume on prediction markets has continued to rise, with weekly turnover consistently exceeding $2 billion, prompting increased legislative scrutiny over issues such as insider trading and market manipulation.