US appeals court lets Ohio and Tennessee regulate Kalshi sports contracts
- —Sixth Circuit ruled Kalshi's sports contracts do not qualify as swaps under the Commodity Exchange Act
- —Ohio and Tennessee can now apply state gambling laws to Kalshi's sports event contracts
- —Third Circuit sided with Kalshi in April; Ninth Circuit backed state regulators in August
- —New Jersey filed a Supreme Court petition on September 2 seeking review of the Third Circuit ruling
Why it matters: The conflicting appeals court rulings heighten legal uncertainty for US prediction markets and raise the odds the Supreme Court will weigh in on federal versus state jurisdiction.
Source: TokenPost