Massachusetts sues Kalshi alleging illegal sports gambling

https://www.cnbc.com/2025/09/12/massachusetts-sues-kalshi-sports-gambling.html

Massachusetts filed a lawsuit in state court Friday against Kalshi, alleging the predictions platform offers sports gambling without a license under the guise of events contracts. In the brief filed with the Suffolk County Superior Court, Massachusetts argues Kalshi is making more money on sports wagers than legal, licensed sportsbooks. Events contracts are regulated as a predictions market by the Commodity Futures Trading Commission. Kalshi has repeatedly argued in federal court that the CFTC’s status as a federal agency supersedes state regulators.

Kalshi made more from sports wagers than licensed sports wagering platforms DraftKings or FanDuel over the course of the same February through May timeframe.” A Kalshi spokesperson told CNBC this week that $439 million worth of wagers had been placed on NFL contracts to date.

As article said Kalshi made more than sports wagers than DKNG and FLUT two publicly traded companies which may be impacted by results of this lawsuit.