Three-Circuit Split Deepens Over Kalshi Gambling Rules

Circuit Court of Appeals in Cincinnati ruled on Friday that Ohio and Tennessee can regulate Kalshi ‘s event contracts under their state gambling laws, handing the prediction-market operator a loss in its fight to keep the industry under exclusive federal oversight. The decision vacated a preliminary injunction a Tennessee federal judge had issued against enforcement of that state’s gambling statutes, and separately upheld an Ohio federal judge’s denial of a similar injunction.