Washington Judge Blocks Kalshi Sports Event Contracts

Richard Janvrin
By: Richard Janvrin
Legal
Washington Judge Blocks Kalshi Sports Event Contracts

Photo by Flickr, CC BY-NC-SA 2.0

Key Takeaways

  • A Washington judge granted a preliminary injunction against Kalshi
  • The court found the state was likely to suffer harm without the injunction
  • Washington joins several states that have secured court orders against Kalshi

After ruling that event contracts likely violated the state's gambling law, a judge in Washington has blocked Kalshi from offering them in the state, per Reuters

Judge John McHale of King County Superior Court issued his decision on Monday and granted the state's motion for a preliminary injunction. 

In his decision, Judge McHale said that the state showed "a ​likelihood of actual and substantial injury to Washington consumers ​from illegal gambling activities" should no injunction be issued. Additionally, he mentioned that any potential harm to Kalshi was outweighed by the harm it could cause to consumers. 

With this ruling, Washington joins Nevada, Michigan, and Massachusetts in winning court orders against Kalshi. 

Also, in New York, a judge there rejected Kalshi's bid to block enforcement of state gambling law. In response, the Commodity Futures Trading Commission (CFTC) said they have jurisdiction, not individual states. 

"States don't have jurisdiction to regulate prediction markets," Kalshi said ​on Tuesday. "We're disappointed ​to see ⁠Washington state continue wasting taxpayer dollars."

Prediction Markets Remain at the Center of Legal Disputes

If you were unaware, Kalshi and other prediction markets like Polymarket allow individuals to trade contracts on the outcome of various events, including sports, politics, weather, technology, and more. 
These became massively popular during the 2024 presidential election, in which Donald Trump defeated Kamala Harris. Speaking of which, a Trump aide who works with the teleprompter was recently found to have been using prediction markets and the "Mentions" market to trade on what Trump would say during speeches. These markets basically allow you to predict what someone will say during a scenario or event, such as a Trump speech. 
In response, Trump called his actions a "disgrace." 

Kalshi Faces Mounting Legal Challenges

Reuters also points out that, per data tracking outlet Dune Analytics, more than $19 billion was traded on the 2026 World Cup at Kalshi and Polymarket. 

We'll see how this decision in Washington unfolds and how it impacts other legal battles across the country. 

Richard Janvrin is a graduate of the University of New Hampshire. He started writing as a teenager before breaking into sports coverage professionally in 2015. From there, he entered the iGaming space in 2018 and has covered numerous aspects, including news, reviews, bonuses/promotions, sweepstakes casinos, legal, and more.

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