New Jersey asks US Supreme Court to assess power to regulate sports bets on Kalshi

​New Jersey authorities on ‌Wednesday asked ​the U.S. Supreme Court to resolve whether states have the power to police sports ‌betting that occurs on prediction markets operated by Kalshi and competing platforms. The state asked the Supreme Court to overturn an appellate court's ‌decision in April holding that the U.S. Commodity Futures Trading Commission ‌has exclusive jurisdiction over the sports-related event contracts that Kalshi allows people to trade on its platform.

New York-based Kalshi did not immediately respond to a ⁠request ​for comment. Kalshi and ⁠companies like it allow users to place trades and profit from predictions on ⁠events such as sports and elections. States argue that firms like Kalshi ​are operating without required state licenses, in violation of gaming ⁠laws, including bans on wagers by those under 21.

"These companies have no right ⁠to ​offer their sports bets without following state law, which is why dozens of states across the ideological spectrum have opposed ⁠them," New Jersey Attorney General Jennifer Davenport, a Democrat, said in ⁠a statement. Under ⁠President Donald Trump's administration, the CFTC has shared the companies' position that trading on prediction markets falls ‌exclusively ‌under the agency's jurisdiction.