Kalshi Lawsuit Over Crypto-Linked Prediction Markets: A Legal Commentary
The lawsuit filed by the Massachusetts Attorney General (AG) against Kalshi, a fast-growing prediction-market platform, has ignited a new debate at the intersection of crypto regulation, derivatives law, and gambling enforcement. The AG alleges that Kalshi is effectively operating an unlicensed gambling platform through its binary-event contracts—some of which are linked to financial and crypto-related outcomes.