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Article
Prediction Markets, Sports Contracts, And The Growing Federal-State Divide
The legal fight over sports-related prediction-market contracts has moved quickly from regulatory novelty to a full-blown federal-state jurisdictional dispute. On August 28, 2026, the U.S. Court of Appeals for the Ninth Circuit held in KalshiEX, LLC v. Assad that Nevada may continue enforcing its gaming laws against Kalshi’s sports-related event contracts because those contracts likely fall outside the category of swaps subject to the Commodity Futures Trading Commission’s (CFTC) exclusive jurisdiction under the Commodity Exchange Act (CEA).
United States International
MV
Moore & Van Allen
Article
Sports Bets Or Swaps? Ninth Circuit’s Controversial Kalshi Ruling Deepens The Divide
The Ninth Circuit ruled that Kalshi's sports event contracts likely do not qualify as swaps under federal derivatives law, allowing Nevada to enforce its gaming regulations against the prediction market platform. This decision creates a direct circuit split with the Third Circuit's contrary ruling, setting the stage for a potential Supreme Court showdown...
United States Finance
KM
Katten Muchin Rosenman LLP
Article
Ninth Circuit Upholds State And Tribal Authority Over Sports-Related Event Contracts
The U.S. Court of Appeals for the Ninth Circuit delivered a landmark ruling on Kalshi's challenge to Nevada gaming regulations, addressing whether federal commodity exchange law preempts state authority over sports-related prediction markets. The decision carries significant implications for Tribal gaming sovereignty and the traditional regulatory framework governing sports wagering across state and Tribal jurisdictions. As prediction market platforms continue to test legal boundaries, this case establishes
United States Government
HK
Holland & Knight
Article
Sports And Gaming Law In The First Half Of 2026: Top Five Developments
The sports and gaming industries are evolving faster than existing legal frameworks can accommodate, creating unprecedented jurisdictional battles, regulatory shifts, and commercial opportunities. From the escalating fight over prediction markets between federal regulators and states to the emergence of responsible gaming as a standalone policy priority, the first half of 2026 has reshaped the legal landscape governing these sectors while raising fundamental questions about innovation, consumer protection
United States Media & IT
W
WilmerHale
Article
Illinois Gaming Update: Prediction Markets, Fantasy Contests, And Casino Operations In Senate Bill 3019
Illinois Senate Bill 3019 introduces significant changes to the state's gaming landscape, expanding temporary casino operations in Chicago and Waukegan while bringing prediction markets under the regulatory umbrella of sports wagering. The legislation establishes a comprehensive licensing and taxation framework for fantasy contests and creates new pathways for online-only sports wagering licenses, fundamentally reshaping how these gaming activities will be regulated and taxed in Illinois.
United States Media & IT
TS
Taft Stettinius & Hollister
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