Kalshi seeks full Sixth Circuit review after Ohio and Tennessee regulatory win
Kalshi is asking the full U.S. Court of Appeals for the Sixth Circuit to rehear a three-judge panel ruling that allowed Ohio and Tennessee to regulate the prediction market platform. The panel had sided with both states on their authority over Kalshi's activities. Kalshi now seeks an en banc review to overturn that decision. Separately, Ohio has moved against prediction markets on concerns about election-related cash flows. Kalshi has argued its event contracts are swaps regulated by the CFTC.
The full-court petition is Kalshi's last procedural stop before a state-gambling precedent hardens in a federal circuit. An en banc grant is rare, but a denial locks in the panel's holding and hands every other state attorney general a clean template to copy. That template has already drawn the NFL's backing in a parallel Supreme Court case.
Kalshi's legal budget must now cover three fronts: this rehearing bid, Ohio's active enforcement, and the separate Tennessee track. Each state platform that retreats under commission pressure validates the gambling framing and lowers the cost for the next state to file. The CFTC's swap-rule proposal remains in White House review, slower than the state court clock.
Joins a running pattern of state-level wins against Kalshi's federal preemption claim, after the Sixth Circuit panel ruling and Ohio's earlier cease-and-desist blitz, with the NFL now urging the Supreme Court to cement the state-gambling framing.