OMM Redaksiyası
A US appeals court has ruled that states can regulate prediction markets, rejecting “Kalshi”’s attempt to exempt its event contracts from state gambling laws, according to Al Jazeera, Reuters and The Associated Press.
The unanimous decision was issued on Friday by a three-judge panel of the 6th US Circuit Court of Appeals in Cincinnati. Judge Julia Smith Gibbons wrote that Ohio and Tennessee may regulate event contracts under their gambling laws.
The ruling is the latest development in a growing debate over oversight of prediction markets, which have expanded rapidly in the United States and raised ethical and regulatory concerns.
Appeals courts divided over state authority
The decision widened a split among federal appeals courts over the power of state and federal regulators to oversee prediction markets, potentially paving the way for the US Supreme Court to consider the issue.
The 9th Circuit in San Francisco ruled last month that “Kalshi”’s event contracts are subject to Nevada’s gambling laws. In April, however, the 3rd Circuit in Philadelphia found that the company’s contracts were not subject to New Jersey’s gambling laws.
Prediction markets face growing scrutiny
Prediction markets allow users to place bets on sporting events, presidential elections, cultural developments and the prospects of an agreement between the United States and Iran over Tehran’s nuclear programme.
Experts have expressed concern about the spread of prediction markets and betting applications, particularly among young people.
New York state filed a lawsuit against “Polymarket” on Thursday, alleging that the platform operates as an unlicensed gambling service. The company said it would “fight for its users”.
“By running an unlicensed gambling operation, Polymarket has done more than just knowingly violate state law, they have put New Yorkers at risk, especially those underage who are most vulnerable to problem gaming,” Governor Kathy Hochul said.
