Victor Rocha and Jason Giles accused the CFTC and Kalshi of “openly defying” court orders. “And then you have the CFTC sending around notices telling the prediction markets to defy court orders,” remarked Giles. “What is going on with that? I mean, can you imagine a tribal gaming operation doing something like that, with the NIGC [National Indian Gaming Commission] running interference?”

Governor Lamont commented: “These prediction markets put Connecticut consumers, young people, our student athletes, and those suffering from gambling addiction at serious risk. They have made it clear their goal is profits over people, and that’s why we are holding them accountable.

Former New Jersey Gov. Christie, now a strategic adviser to the American Gaming Association (AGA), said the policy allowing prediction markets to offer sports contracts under federal oversight is harming states that regulate sports betting.

“No matter what they call themselves, prediction markets are gambling platforms, plain and simple. By ignoring our laws, prediction markets are running illegal operations,” said New York Attorney General Letitia James.  Attorneys General: Prediction Markets Are Illegal Gambling.

“After months of discussion, we’ve concluded that this is not simply a disagreement about one company,” Nevada Council Executive Director Trey Delaptold the Nevada Current. “It reflects a fundamental difference in how we believe a problem gambling organization should respond to emerging gambling risks.”

The court concluded that Kalshi was unlikely to succeed on the merits of its claim because the sports event contracts offered by Kalshi are not “swaps” under the Commodity Exchange Act (CEA), Connecticut’s gambling laws are not preempted by the CEA, and Kalshi did not show it would suffer irreparable harm if the injunction were not granted (KalshiEx LLC v. Cafferelli, No. 3:25-cv-02016-VDO)

Kalshi has flagged over 50 traders in 2026, while Polymarket has flagged over 90. Still, the CFTC has brought action against only three people so far.