Kalshi loses appeal over Ohio and Tennessee sports betting laws, widening circuit split
60-second summary
Kalshi loses appeal as a federal appeals court rules it has not proven its sports event contracts qualify as swaps under the Commodity Exchange Act, rejecting its challenge to Ohio and Tennessee betting restrictions. The decision deepens the circuit split on regulatory classification, signaling continued legal uncertainty for crypto‑linked betting platforms and potentially dampening market expansion.
A federal appeals court ruled on Friday that Kalshi has not adequately shown its sports event contracts are swaps under the Commodity Exchange Act.