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Judge orders Kalshi to stop sports bets

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The gist

A Washington judge ordered Kalshi to stop sports and election bets. The ruling blocks most wagers, with a $120,000-a-day penalty for missing the Sept. 2 geofence deadline.

Background

Kalshi is a prediction market platform that allows users to bet on outcomes in sports, elections, and other events. Washington state sued Kalshi, arguing it violated the state's Gambling Act and Consumer Protection Act. A King County Superior Court judge issued a preliminary injunction, finding Kalshi likely operated an illegal gambling operation. The order requires Kalshi to block Washington residents from most wagers and to implement geofencing technology.

How it unfolded

  1. Mar 2026A judge in Nevada banned Kalshi from operating in the state for lacking a gambling license.
  2. Jul 2026A preliminary injunction was issued in Washington, saying Kalshi likely violates state law against online gambling.
  3. Aug 13, 2026King County Superior Court Judge John McHale issued a final order requiring Kalshi to stop offering wagers on sports, elections, politics, entertainment, culture, tech and science in Washington.
  4. Aug 19, 2026Kalshi must implement an IP address and residency-based geofence by this date.
  5. Sep 2, 2026Kalshi must implement a more comprehensive geofencing solution; missing this deadline carries a $120,000-a-day penalty.

Who’s saying what

Official
Washington Attorney General Nick Brown said Kalshi has gotten rich promoting wagers on sports, elections, and more, and the order bans most of those topics in Washington.
Caution
Kalshi officials say the court lacks jurisdiction to make that call, according to KUOW.

Still unverified

Kalshi's claim that the court lacks jurisdiction is disputed and not yet resolved.

Sources

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