Michigan’s Attorney General has hit back after the Commodity Futures Trading Commission (CFTC) ordered prediction market operator Kalshi to honor pending trades from Michigan residents, following a temporary block issued by an Ingham County Judge.
The CFTC had said it issued the order on Tuesday after Kalshi proposed canceling pending trades following the court order, issued by Judge Rosemarie Aquilina towards the end of June.
The temporary block prohibited Kalshi from offering sports event contracts for 14 days.
According to the CFTC, the Commodity Exchange Act requires federally registered derivatives exchanges to operate as a single national market. The oversight body said allowing Kalshi to cancel trades based on a customer’s state of residence would conflict with the impartial-access requirements.
Michigan Attorney General Dana Nessel’s office criticized the decision, saying it interferes with the state’s authority to regulate companies that operate within the state.
https://michiganadvance.com/briefs/federal-agency-intervenes-in-michigans-legal-fight-over-kalshi-sports-contracts