US appeals court backs state regulation of prediction markets; New York sues Polymarket
Coverage diverges between reports on a federal appeals court ruling against Kalshi and a separate New York legal action against Polymarket, reflecting different facets of a wider fight over who regulates prediction markets.
What happened
A US appeals court has ruled against Kalshi, determining that states have authority to regulate prediction markets, according to Al Jazeera and CNA.13
Al Jazeera reports that US appeals courts have taken varying approaches to prediction market regulation, potentially setting up the issue for US Supreme Court review.1
Separately, Ars Technica reports that New York has sued Polymarket seeking to shut down its operations in the state.2
Ars Technica reports this legal action comes as the Trump administration attempts to override state gambling laws, a characterization the outlet frames as New York defying that effort.2
What's agreed
Reported consistently by outlets in more than one region.
Where accounts differ
Each account is attributed to who makes it. We do not judge between them.
Nature of the legal dispute over prediction markets
Al Jazeera English and CNA
Focus on a US appeals court ruling that states can regulate prediction markets, in a case involving Kalshi, with potential for Supreme Court review.13
Ars Technica
Reports that New York is suing Polymarket to shut down its operations, framing it as the state defying attempts by the Trump administration to override state gambling laws.2
How it's framed
What each perspective puts first, based on headlines and summaries.
| Perspective | How it reads | What it puts first |
|---|---|---|
| State-controlled international outletsMiddle East & Turkey | Al Jazeera reports on the appeals court ruling against Kalshi in neutral terms, emphasizing inconsistency among US appeals courts and the possibility of Supreme Court involvement.1 | court ruling, state regulation, Supreme Court potential |
| State-controlled Southeast Asian outletSoutheast Asia | CNA reports the same appeals court ruling with a neutral, factual framing focused narrowly on the legal outcome for Kalshi.3 | court ruling, state regulation |
| US privately owned outletNorth America | Ars Technica frames the story around New York's lawsuit against Polymarket, using critical language describing New York as defying the Trump administration's efforts to override state gambling laws.2 | state vs federal conflict, New York enforcement action, Trump administration role |
What the coverage leaves out
- None of the outlets reviewed reported the specific legal reasoning or full text of the appeals court ruling against Kalshi.
- None of the outlets reviewed detailed the specific allegations New York has made against Polymarket.
- None of the outlets reviewed reported a response from Polymarket, Kalshi, or the Trump administration to these developments.
- None of the outlets reviewed clarified whether the Kalshi ruling and the New York action against Polymarket are directly connected or separate legal matters.
Why it matters
The ruling and related legal actions come amid broader disputes over whether prediction market platforms fall under state gambling laws or federal commodities regulation.12
What to watch
- Whether the Kalshi ruling is appealed to the US Supreme Court, as raised by Al Jazeera.
- Further developments in New York's legal action against Polymarket.
Sources (3)
Every outlet we drew on, grouped by where it is based. Read the originals for the full reporting.
North America
- 2Ars TechnicaUSPrivate
New York defies Trump admin, asks court to shut down Polymarket gambling
Middle East & Turkey
- 1Al Jazeera EnglishQAState-controlled
US court rules against Kalshi, says states can regulate prediction markets
Southeast Asia
- 3CNASGState-controlled
US appeals court rules against Kalshi, says states can regulate prediction markets