Arizona Files Criminal Charges Against Kalshi Prediction Market Alleging an “Illegal Gambling Operation”
Arizona Attorney General Kris Mayes filed criminal charges against Kalshi, a prediction market platform, alleging illegal gambling and election wagering.Summary
Arizona Attorney General Kris Mayes has filed 20 criminal charges against KalshiEx LLC and Kalshi Trading LLC, the companies operating the Kalshi prediction market, accusing them of running an illegal gambling operation and taking bets on Arizona elections without a license. Mayes stated that Kalshi is violating Arizona law by offering bets on events like sports and the passage of the SAVE Act, as well as future elections, including the 2028 presidential race. The bets in question ranged from $1 to $30, with one example being a $1 bet on Elon Musk attending the Super Bowl. Kalshi has responded by calling the charges “seriously flawed” and “gamesmanship,” claiming they are an attempt to circumvent the federal court where Kalshi has filed its own suit, arguing exclusive federal jurisdiction. Mayes insists Arizona will not allow any company to operate above state law. Kalshi saw over $120 million wagered on the Oscars this past Sunday, and correctly predicted 19 of 24 Academy Award winners.
(Source：The Hollywood Reporter)