Judge Andrew P. Gordon, US District Judge for the District of Nevada, has ruled that contracts by Kalshi cannot be offered in the state.
Despite the ruling, the predictions market has, in turn, submitted an emergency injunction to freeze the decision.
Kalshi and Nevada legal battles deepen
The background to the case, as Readwrite reported, is that Kalshi, one of the largest Designated Contract Market (DCM) providers in America, believes its operations are lawful nationwide under the umbrella of the Commodity Futures Trading Commission (CFTC).
“As I mentioned in my Crypto order, had Congress intended to upset the balance between state and federal gaming regulation and turn CFTC-designated markets into nationwide casinos for anyone over the age of 18 with no comparable federal regulator, it surely would have made that intent more explicit. I therefore find that the balance of hardships does not tip sharply in Kalshi’s favor.” – Judge Andrew P. Gordon
Individual states, such as Maryland, New York, and Ohio, to name a few, have taken umbrage at the supposed disregard Kalshi has for the regulated, licensed betting processes in place.
In Nevada specifically, there has been action involving another prediction market, Crypto.com, which was effectively frozen out of offering any services until its lengthy legal woes come to a close.
BREAKING: Nevada federal court dissolves preliminary injunction granted to Kalshi, finds that Kalshi’s interpretation “relies on a strained reading of the already convoluted CEA,” would “upset decades of federalism regarding gaming regulation and is contrary to Congress’ intent.” pic.twitter.com/mNSRLTpO9k
— Daniel Wallach (@WALLACHLEGAL) November 25, 2025
Judge Gordon has been a key part of the tale, initially upholding the decision in Kalshi’s favour earlier this year and then being the party to dissolve Crypto.com’s defence.
That dissolution has led to this November 24, 2025, decision to allow Nevada regulators to take punitive action against Kalshi.
Event contracts are in crisis in Nevada
This set a precedent for those opposed to Kalshi, such as the Nevada Gaming Control Board, who willingly pushed for the same treatment of Crypto.com for all prediction market providers.
This would affect the established licensed betting operators in Sin City, such as DraftKings and Flutter Entertainment. We covered the Nevada Gaming Control Board pulling the licenses of both after they attempted to muscle into the emerging contract game.
“Flutter Entertainment/FanDuel and DraftKings intend to engage in unlawful activities related to sports event contracts. This conduct is incompatible with their ability to participate in Nevada’s gaming industry,” said the Nevada Gaming and Control Board.
Kalshi needs the emergency injunction to survive
Kalshi made multiple arguments against Judge Gordon’s decision in its Emergency Motion for Stay Pending Appeal, including the cost of blocking Nevada residents’ access to its products via geofencing.
“With the PI no longer in effect, however, Kalshi faces a threat of imminent criminal enforcement by Nevada authorities. Accordingly, Kalshi respectfully requests, by this motion, a stay of the Dissolution Order pending appeal.” – Kalshiex, LLC v. Hendrick motion to stay
Nevada regulators had initially explored geofencing as a solution to Kalshi’s limited presence in the state, and the predictions market is front-loading all arguments against it in an attempt to win the emergency injunction.
The decision, says Kalshi, would also contradict the CFTC’s finer details on open national access to federally regulated markets, and the cost of geofencing within a workable timeframe would be prohibitive. The company has already filed a motion to stay, requesting an administrative stay of the Dissolution Order.
The legal ball now passes to the Nevada courts, which will review the emergency injunction and may decide Kalshi’s prediction market’s fate in the gambling-heavy state.
ReadWrite has reached out to the Nevada Gaming Control Board for comment.
Featured image: Kalshi / Canva
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