Global betting company Fanatics has announced that it has acquired a CFTC-regulated exchange and clearinghouse from BGC Group, which will allow the operator to offer in-house...
On July 27, 2026, a federal court in New York denied Kalshi’s emergency injunction bid against state officials, which aimed to block regulators from applying state gambling laws on federally regulated prediction markets.
The ruling comes just weeks after New York denied a preliminary injunction for Kalshi on July 7, 2026, with Judge Analisa Torres stating that the Commodity Exchange Act (CEA) doesn’t preempt New York state gambling laws. After this, Kalshi filed its second motion on July 15, 2026, to appeal the decision to the U.S. Second Circuit Court of Appeals.
Kalshi shared in the injunction request:
“Without relief, Kalshi will suffer irreparable harm from being forced to choose between criminal liability under preempted state law and violation of its federal obligations, even as the CFTC seeks to enjoin New York from applying its gambling laws in a separate case.”
Additionally, New York State Gaming Commission officials agreed to temporarily stop any enforcement action against Kalshi to allow the company to seek an injunction.
Judge Torres explained in her second ruling:
“Kalshi asked for something even more drastic than a routine injunction pending appeal; it seeks the very injunctive relief that this court already denied. Defendants have laid out significant harms associated with halting their efforts to enforce state gaming regulations.”
The unfavorable outcome for the prediction market comes after a Washington court ruled Kalshi’s operations as illegal gambling on July 20, 2026.
