Key facts
- Lawmakers from gaming states have filed an amicus brief urging the Supreme Court to take up the case between Kalshi and New Jersey gaming authorities.
- The NCLGS argues that a ruling favoring Kalshi would render states powerless to regulate sports betting on prediction markets.
- New Jersey's petition to the Supreme Court seeks to resolve whether state authorities or federal agencies have jurisdiction over prediction market companies.
- Kalshi has until November 9 to respond to the Supreme Court petition.
A group of US state lawmakers has filed an amicus brief with the US Supreme Court, urging justices to weigh in on a case between prediction markets platform Kalshi and gaming authorities. The National Council of Legislators from Gaming States (NCLGS) filed the brief on Tuesday, supporting New Jersey’s Attorney General and gaming authorities’ petition for a writ of certiorari. The petition, filed on September 2, asked the nation’s highest court to consider New Jersey’s case against Kalshi, potentially resolving whether state authorities or federal agencies have jurisdiction over prediction market companies.
In its filing supporting New Jersey’s position, the NCLGS argued that a ruling favoring Kalshi would render states powerless to regulate sports betting on prediction markets, causing substantial harm and confusion. According to the group, gaming-related matters should be left to individual US state authorities, though the filing did not address the argument that event contracts traded on federally regulated markets fall under the CFTC’s exclusive jurisdiction.