Washington State Attorney General filed a Friday lawsuit alleging Kalshi offers gambling products disguised as prediction markets, challenging Kalshi’s activities under state gambling, professional gambling, and wagering statutes. The suit asserts Kalshi’s operations may violate state law and highlights mounting state-level opposition to Kalshi’s prediction-market providers as regulators scrutinize whether such platforms comply with applicable law. Kalshi’s website and app display a range of events with odds, which determine the payout a bettor would receive if the events occur. The filing argues Kalshi’s products could foster gambling addiction and target college students, and it seeks to move the Kalshi case to federal court.
Separately, in Nevada, the court system moved to block Kalshi’s services. An appeals court opened the door for a temporary restraining order against Kalshi in Nevada, and Kalshi obtained a TRO on March 20, 2026. A March 26 order continued the pause on Kalshi’s prediction-market services in the state, following an earlier TRO issued in February, and Coinbase also secured a preliminary injunction to halt its prediction-market service with a 60-day window to implement improvements. The Nevada and Washington courts operate under the Ninth Circuit.
Canada’s Bill C-25 similarly aims to ban crypto donations to federal campaigns, reflecting ongoing scrutiny of crypto’s role in politics on a broader North American regulatory front. The Elections Canada Commissioner has warned about cryptocurrency’s anonymity and identity-verification challenges, advocating a blanket prohibition as part of a broader policy shift.
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