Kalshi to discontinue sports event contracts in Massachusetts on Friday

• Suffolk County Superior Court has approved a temporary injunction blocking Kalshi’s sports event contracts in Massachusetts, starting January 23
• Massachusetts AG has argued since September that Kalshi offers sports gambling without a proper license, with this complaint being one of several actions against the platform
• Kalshi can appeal the ruling, while other states, including Nevada, continue targeting prediction market platforms like Kalshi and competitor Polymarket

Kalshi has experienced a setback in Massachusetts, as the Bay State is now more likely than not to have its way and see sports event contracts suspended.

The prediction market is facing increasing scrutiny from the state’s Attorney General, who has argued since September that the platform offers sports gambling products without a proper license.

Massachusetts is close to barring Kalshi from offering sports event contracts

This complaint is one of several notable actions taken against the platform. The most recent case filed by the Commonwealth, however, is an independent complaint.

Now, Suffolk County Superior Court Judge Christopher Barry-Smith has issued a ruling in the case of the state against the platform, approving a temporary injunction against Kalshi’s sports event contracts starting Friday, January 23.

The platform is free to appeal the ruling, as it would most likely do, but this is yet a challenging setback for Kalshi, as Judge Barry-Smith has agreed with the state’s interpretation that Kalshi needs to operate under the state’s gambling laws.

Polymarket was also targeted in the recent anti-prediction market push

Kalshi will have the opportunity to call for a motion to stay on Friday, when a hearing will be held before the injunction can go into effect. It is still possible to see the platform pushback and convince the judge to grant it a temporary relief, as the platform has managed in other states, including in Nevada.

Nevada, however, is not lessening its pressure campaign against the prediction market platform, with the state recently targeting Polymarket - a competitor to Kalshi, and becoming the first jurisdiction in the United States to challenge the newly-returned company.

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