Appeal lost: Kalshi sports event contracts dispute may head to the U.S. Supreme Court

Odaily reports that a three-judge panel of the U.S. Court of Appeals for the Sixth Circuit unanimously ruled that Ohio and Tennessee may regulate Kalshi's sports event contracts under state gambling laws, and found that Kalshi failed to prove the contracts in question qualify as "swaps" under the jurisdiction of the U.S. Commodity Futures Trading Commission. The ruling is consistent with the Ninth Circuit's conclusion last month, but the Third Circuit ruled in April that Kalshi could operate in New Jersey during litigation, creating a circuit split. Several state legislators have submitted amicus curiae briefs to the U.S. Supreme Court, asking it to determine the jurisdictional boundaries between state governments and federal agencies over prediction markets.