Kalshi Ends Federal Court Losing Streak With Partial Win Over Illinois
- —Judge Martha Pacold found Illinois' licensing regime and criminal provision likely preempted by federal law
- —Title-game contracts are likely swaps that must trade on a designated contract market, beyond state regulation
- —The ruling did not address Illinois' new fees: 1.75% on the first 5 million wagers and 3.5% after, plus 15% on gross receipts
- —It is Kalshi's first federal court win since July, when a Minnesota judge blocked that state's prediction market ban
Why it matters: The decision splits from the Sixth and Ninth Circuits; the outcome will shape whether states can regulate prediction markets and Kalshi.
Source: Bitcoin.com