New York sues Kalshi, says its prediction markets are illegal gambling

New York’s attorney general sued Kalshi on Friday, claiming that its prediction market platform violates state laws against illegal gambling.

In a petition filed in a state court in Manhattan, Attorney General Letitia James ‌said Kalshi failed ⁠to obtain ⁠a New York State Gaming Commission license to operate its platform, where people trade based on the predicted outcomes of events such as sports and elections.