States can regulate prediction markets as gambling, federal appeals court rules - CNN

A federal appeals court ruled Friday that states can regulate prediction markets like gambling, dealing a major blow to the booming industry. There are still related lawsuits pending across the country, and legal experts believe the matter will ultimately be settled by the Supreme Court. But Friday’s ruling from the Ninth Circuit Court of Appeals is the largest courtroom victory to date for the states as they seek to regulate prediction sites. The 3-0 ruling came from a panel of three Trump-appointed judges. The case originated from Nevada, where regulators tried to shut down the Kalshi prediction site. On prediction sites like Kalshi and Polymarket, users can wager on nearly everything, from sports to culture, award shows, album releases, the weather, the value of gold, and beyond. With the backing of the Trump administration, prediction markets have been operating as federally regulated financial exchanges.