9th Circuit deals blow to Kalshi: sports betting isn't a 'swap'
9th Circuit sides with states in Kalshi gambling fight
A federal appeals court ruled that sports betting is not a 'swap' under the Commodity Exchange Act, undermining a judge's injunction that blocked Arizona from prosecuting prediction market Kalshi. The 9th Circuit's decision in a Nevada case could revive Arizona's criminal case against Kalshi and sets up a potential Supreme Court battle over states' authority to regulate gambling.
Calling a sports bet a 'swap' doesn't make it one.