Nevada extends preliminary injunction blocking Kalshi sports and election contracts
Nevada extended a preliminary injunction blocking Kalshi from offering sports, election, and entertainment event contracts without a state gaming license. The order, first issued in April 2026, remains in force while underlying litigation continues. Legal analyst Daniel Wallach posted that if the injunction survives rehearing denial, Kalshi would likely ask the Ninth Circuit to withhold mandate issuance pending Supreme Court review.
Kalshi must keep Nevada geofenced or face state gambling enforcement that federal registration no longer blocks. The extension stretches geofence costs and legal spend while parallel suits in Connecticut and Baltimore compound the same exposure. Each state loss emboldens the next attorney general to file.
New Jersey and Crypto.com have both asked the Supreme Court to settle the circuit split, but cert grants are rare. Kalshi's board has called the Ninth Circuit opinion more confusion than clarity, reflecting frustration that judicial momentum now runs against its preemption theory. Traders hold positions whose legality shifts with state borders, not regulation, until a federal ruling lands.