CFTC Takes Utah to Court as Prediction Market Regulatory Showdown Escalates

On Tuesday, October 27, the CFTC filed a lawsuit in the U.S. District Court for the District of Utah aimed at halting local regulatory actions targeting prediction market platforms. The federal lawsuit directly names the state of Utah and its Attorney General, Derek Brown. The federal agency’s move comes after state authorities filed a lawsuit against the Kalshi platform , accusing it of operating illegal gambling within its borders. The legal battle focuses on the division of jurisdiction over event-based contracts.