New York sues Kalshi, says its prediction markets are ‘illegal gambling’

Published On 31 Jul 202631 Jul 2026New York officials have sued prediction market platform Kalshi, calling it an “illegal, unlicensed gambling operation” as the state seeks to halt its operations and force the company to forfeit its profits.With its lawsuit on Friday, New York joins a growing number of states filing cases against Kalshi and other companies in a dispute with United States President Donald Trump’s administration over who regulates the fast-growing prediction market. Kalshi and other platforms argue they are federally licensed and regulated, and states have no authority to govern them.Recommended Stories list of 3 itemslist 1 of 3After OpenAI disclosure, Anthropic says Claude also hacked outside systemslist 2 of 3Russia appears to infiltrate first ‘fortress city’ as Ukraine changes guardlist 3 of 3Western allies warn North Korean IT workers funding nuclear arsenalend of listIn a petition filed in a state court in Manhattan, Attorney General Letitia James said Kalshi failed to obtain a New York State Gaming Commission licence to operate its platform, where people trade based on the predicted outcomes of sport, elections and other events.The attorney general said such p...