Kalshi, Polymarket lose 2 state gambling appeals
The post Kalshi, Polymarket lose 2 state gambling appeals appeared on BitcoinEthereumNews.com. Kalshi and Polymarket lost bids to block gambling cases in Nevada and Washington. Summary A Ninth Circuit panel denied emergency motions from both platforms to halt state-level gambling enforcement actions. The judges ruled that federal derivatives oversight does not automatically shield prediction markets from state gaming laws. The decision deepens a growing legal split over whether sports event contracts are federally regulated swaps or gambling products. A three-judge Ninth Circuit panel denied emergency motions from both Kalshi and Polymarket to block lower court rulings, sending gambling enforcement cases in Nevada and Washington back to state courts. The orders came down on Thursday. The judges concluded that raising a defense under the Commodity Exchange Act does not create federal jurisdiction that would move the cases out of state courts. “The CEA preemption defense is an affirmativ