Kalshi leads prediction markets' $3 million push to fight state regulations
Prediction market operators and trade groups have spent at least $3 million this year on lobbying and campaign contributions across state and federal governments, according to disclosures tracked by Stateline.org and OpenSecrets. Kalshi leads the spending through the Coalition for Prediction Markets, whose members include crypto firms. Foris Dax, the parent of Crypto.com, is named as one coalition member. The outlay reflects an intensified political push to shape regulatory and legislative outcomes as state gambling authorities challenge federal preemption.
The $3 million spend turns legal defense into political offense. Kalshi and Polymarket are fighting state gambling laws on Capitol Hill and in statehouses before more attorneys general file copycat suits. Each new state action raises compliance costs and fragments national markets into geofenced patches.
The coalition's crypto ties bring deep campaign wallets, but that same linkage risks alienating lawmakers already skeptical of digital assets. Kalshi must win legislative allies faster than states win court rulings, or its first-mover lead erodes into a fifty-front retreat. Polymarket faces identical stakes. The spend signals platforms now see lobbying as survival infrastructure, not optional influence.