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flag Arizona judge blocks gambling prosecution of Kalshi prediction markets.

flag A federal judge in Arizona has temporarily blocked the state from enforcing gambling laws against prediction market operator Kalshi, pausing a prosecution that accused the company of 20 misdemeanor counts for betting on political events and sports. flag The ruling, issued by U.S. District Judge Michael Liburdi, follows a lawsuit by the federal Commodity Futures Trading Commission (CFTC), which argued that such markets are federally regulated financial instruments and not illegal gambling. flag While the judge found the CFTC likely to succeed in its claim, Arizona's attorney general said the office disagrees and will consider next steps.

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