KALSHI WINS LAWSUIT AGAINST CFTC!!!

The prediction market platform Kalshi announced on their company Discord serve (which is open to the public) that they’ve won their lawsuit against the CFTC, which had previously banned them from operating prediction markets on US election.

Here’s the court order, vacating the CFTC’s ban on election markets:

For those not familiar with the legal jargon, “summary judgement” means the court has decided to issue a ruling without having a full trial — often done when there’s no real dispute about the key facts of the case.

When asked for an official statement, Kalshi CEO Tarek Mansour said, and I quote: :)

This is huge! Great news and congrats to Kalshi!! Of course, the CFTC could appeal the ruling, potentially leading to another legal battle, but at least for now Kalshi seems to be in the clear to legally operate prediction markets on US elections — and just in time for the 2024 election!

By the way, I’m assuming that most subscribers to this blog are already pretty supportive of prediction markets, but just in case anyone is thinking “Wait, why is this a good thing? Isn’t this basically just gambling?” please check out my other article The Case for Legalizing Prediction Markets, where I talk about how prediction markets differ from other forms of gambling, most importantly in their use as information-aggregators and the positive externalities this creates for society.