Arkansas sues Kalshi over alleged illegal gambling
Share
Key points
- Arkansas Attorney General Tim Griffin has sued prediction market operator Kalshi over alleged illegal gambling.
- The lawsuit challenges Kalshi's sports, election and entertainment event contracts under Arkansas law.
- The state is seeking restitution, penalties, unpaid taxes and an injunction against the platform.
Arkansas Attorney General Tim Griffin has sued Kalshi over alleged illegal gambling operations in the state.
The lawsuit targets KalshiEX LLC and Kalshi Inc., which operate the prediction market platform.
“Arkansas law is concerned with substance, not semantics, and in Arkansas, gambling is regulated to protect consumers,” said Arkansas Attorney General Tim Griffin.
The complaint alleges Kalshi accepted wagers on sports, elections and entertainment without obtaining required state licences.
“Kalshi has built a global business that it calls a prediction market, allowing consumers to wager money on the outcome of just about anything,” Griffin said.
Griffin alleges the platform allowed Arkansas residents aged 18 and older to wager real money on event outcomes.
The state is seeking restitution, penalties, taxes and an injunction, alongside claims under Arkansas's Deceptive Trade Practices Act.
The lawsuit places prediction market regulation and state gambling laws at the centre of a dispute in Arkansas.
Frequently asked questions
More from Crypto
Crédit Mutuel Arkéa details cyberattack and fund recovery
Polygon proposes recovery of 70.49 million POL
OCC sets framework for banks' super intelligence use
Trump Media-linked wallets move 4,259 Bitcoin to Crypto.com
BitMart reports another hack amid security staffing crisis
BitGo launches institutional trading unit under Janney
