Kalshi Faces Lawsuit in Washington State, Currently Involved in Over 20 Lawsuits

Odaily News: Washington State Attorney General Nick Brown has filed a civil lawsuit against the prediction market platform Kalshi, alleging that it violated state gambling and consumer protection laws by offering betting services on events such as sports, elections, and wars. The lawsuit, filed in the King County Superior Court, seeks to prohibit Kalshi from operating locally, recover residents' lost funds, and impose civil penalties. Kalshi's advertisements reportedly suggested users could bypass local laws to participate in NFL betting, indicating it was "aware of the violations."

However, Kalshi responded, stating it is a federally regulated and compliant trading platform, denied offering markets related to wars, and expressed confidence in winning the legal case. This is reportedly another regulatory action the company has faced recently, and it is currently involved in over 20 civil lawsuits. Previously, prosecutors in Arizona have filed criminal charges against it, which is considered the first criminal case targeting a prediction market. (Geekwire)