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inj

Kalshi seeks to block state regulatory enforcement after losing its injunction protection in Nevada, during which it will appeal

The prediction market platform Kalshi lost its preliminary injunction to block enforcement by Nevada regulators on the eve of Thanksgiving and is currently seeking to continue blocking state regulatory actions during the appeal in court. The court's lifting of the injunction means that Kalshi faces potential legal risks if it continues to operate in Nevada. Similar to Polymarket, Kalshi offers prediction contracts covering sports, politics, crypto, and traditional markets, believing that obtaining a CFTC license allows it to operate in all 50 states, but some state regulators—especially in Nevada—disagree.After the lifting of the injunction, Nevada regulators stated that they would not immediately initiate enforcement actions until the court decides whether to approve a stay of enforcement, but this does not equate to an administrative exemption granted by the court. The court has required state regulators to respond to Kalshi's application by December 8, and Kalshi may submit a reply by December 12.Reports indicate that as Kalshi engages in negotiations with regulators in multiple states, the platform's trading volume has rapidly increased, and its valuation has risen to $11 billion in a funding round led by Sequoia. Certuity predicts that the prediction market size could reach $95.5 billion by 2035. Nevada regulators have accused Kalshi of "continuing to engage in illegal activities" without a state gaming license and emphasized that both Crypto.com and Robinhood have agreed to suspend local operations during the appeal. Crypto.com did not receive extended injunction protection, and its prediction market operations in Nevada have been suspended.
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