Summary
A Massachusetts judge blocked residents from using Kalshi, a platform for prediction markets, which affects betting on sports events like the Super Bowl. The judge ruled that Kalshi needs a state sports wagering license under Massachusetts law. This decision impacts millions of users and the company's operations.
Key Facts
- A Massachusetts judge blocked Kalshi from operating without a sports wagering license in the state.
- The decision affects millions of users, especially ahead of the Super Bowl.
- Kalshi allows users to predict outcomes for various topics, including sports and politics.
- Sports betting made up 70% of Kalshi's income during a part of last year.
- Kalshi has about two million users across the U.S. and is valued at over $2 billion.
- Several states have challenged Kalshi on legal grounds, but Massachusetts is the first to stop operations.
- The Massachusetts Attorney General filed a lawsuit in 2025 claiming Kalshi did not have the necessary license.
- The judge disagreed with Kalshi’s argument that federal law covers their sports event contracts, stating state laws apply.
