Kalshi hires lobbyists in 41 states to shape prediction market regulation
An analysis found that Kalshi has hired at least one lobbyist in 41 states. The spending concentrates heavily in California and New York. The effort reflects the prediction market platform's push to shape regulation at the state and federal level as the industry expands. No total spending figure or specific policy timeline was disclosed. Spokespeople for Kalshi did not comment on the analysis. The disclosure comes as state attorneys general increasingly challenge the federal preemption that CFTC-registered platforms have relied on.
The 41-state lobbying map shows Kalshi is building political firewalls in the exact venues where its federal preemption shield is cracking. The platform already lost preemption fights in Ohio and Tennessee, where state courts rejected CFTC registration as a barrier to gambling enforcement. Each state victory becomes template law the next attorney general copies, so Kalshi must now win in legislatures before it loses in courtrooms.
The concentration in California and New York matters most: those are large markets with aggressive attorneys general already probing prediction markets. Donald Trump Jr., strategic advisor to both Kalshi and Polymarket, has urged Republican state attorneys general not to regulate, but that lever only reaches one party. Lobbying 41 states is an admission that federal registration alone no longer guarantees national market access. Platforms that fail to secure friendly state statutes will face patchwork geofences, product redesigns, or market retreat.
The disclosure extends Kalshi's political defense from a single $3 million industry lobbying coalition into a solo, coast-to-coast state operation as its federal preemption shield crumbles in Ohio and Tennessee.