New York sues Kalshi alleging illegal prediction markets defying state gambling laws

New York is taking its fight against prediction markets to court, with Gov. Kathy Hochul and Attorney General Letitia James announcing Friday (July 31) that the state has sued Kalshi, alleging the federally regulated prediction market operator is running an illegal gambling business by offering contracts on sports, elections and other future events without a New York gaming license. The lawsuit , filed in New York Supreme Court under Executive Law § 63(12) , which gives the Attorney General powe