The post Judge Who Ruled on Ripple XRP Just Dealt a Major Blow to Prediction Markets appeared first on Coinpedia Fintech News Judge Analisa Torres, known for presidingThe post Judge Who Ruled on Ripple XRP Just Dealt a Major Blow to Prediction Markets appeared first on Coinpedia Fintech News Judge Analisa Torres, known for presiding

Judge Who Ruled on Ripple XRP Just Dealt a Major Blow to Prediction Markets

2026/07/08 14:30
3 min read
For feedback or concerns regarding this content, please contact us at [email protected]

Judge Analisa Torres, known for presiding over the landmark Ripple case, has ruled against prediction market platform Kalshi. This was a significant legal setback for the company.

Torres denied Kalshi’s request for a preliminary injunction. She found that New York’s gambling laws as applied to Kalshi’s sports event contracts are not preempted by the Commodity Exchange Act. Consequently, the ruling means New York’s gambling regulations can continue to apply to those contracts. It blocks Kalshi from operating them in the state.

Attorney Daniel Wallach described the ruling as a major setback, writing:

“Major, major loss for Kalshi in the financial capital of the US, with likely knock-on effects in other cases.” 

He said the ruling could trigger several consequences. These include a stronger case for the New York Attorney General, setbacks for Kalshi’s ongoing litigation in Connecticut, and renewed pressure on related prediction market cases. It could also potentially affect related legal battles involving Coinbase and Gemini. As a result, those cases could be sent back to state courts.

Legal commentator Noah Zingler-Sternig also reacted, saying, “fortunately, Judge Torres is wrong. Unfortunately, Judge Torres doesn’t think she’s wrong.”

He added that the momentum now appears to be shifting toward state regulators.

Prediction Markets or Gambling?

Kalshi argues that its event contracts are federally regulated financial instruments overseen by the Commodity Futures Trading Commission (CFTC). Therefore, they cannot be treated as gambling by individual states.

Former CFTC official Mike Selig defended that position. He explained “There are fundamental differences between prediction markets and casinos that make the former subject to the CFTC’s regulatory remit and not that of the states.”

According to Selig, prediction markets trade through regulated exchanges using order books, clearinghouses, and investor protections. Casinos, by contrast, are entertainment businesses that directly bet against customers and are regulated by state gambling laws.

States Continue Their Push

Despite Kalshi’s arguments, several US states are still challenging prediction markets. After Judge Torres’ ruling, New York Attorney General Letitia James is expected to take legal action against Kalshi. She will seek penalties and the return of profits. 

Meanwhile, a federal judge in Minnesota has also questioned whether platforms like Kalshi and Polymarket have gone beyond what Congress originally intended under the CFTC’s rules.

Supreme Court Could Have the Final Word

Kalshi plans to appeal Judge Torres’ decision and seek another injunction. Meanwhile, the issue may eventually reach the U.S. Supreme Court. Justice Samuel Alito has given New Jersey until August 4 to file a petition. This petition will challenge an earlier appellate ruling that sided with Kalshi.

For now, the latest ruling strengthens the argument made by state regulators. They say that prediction markets function much like sports betting platforms. Thus, they should face the same state-level oversight and consumer protections.

Market Opportunity
Major Logo
Major Price(MAJOR)
$0.03479
$0.03479$0.03479
-0.25%
USD
Major (MAJOR) Live Price Chart

World Cup Combo: Aim for 200x

World Cup Combo: Aim for 200xWorld Cup Combo: Aim for 200x

Combine up to 20 World Cup matches in one order

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Why The Green Bay Packers Must Take The Cleveland Browns Seriously — As Hard As That Might Be

Why The Green Bay Packers Must Take The Cleveland Browns Seriously — As Hard As That Might Be

The post Why The Green Bay Packers Must Take The Cleveland Browns Seriously — As Hard As That Might Be appeared on BitcoinEthereumNews.com. Jordan Love and the Green Bay Packers are off to a 2-0 start. Getty Images The Green Bay Packers are, once again, one of the NFL’s better teams. The Cleveland Browns are, once again, one of the league’s doormats. It’s why unbeaten Green Bay (2-0) is a 8-point favorite at winless Cleveland (0-2) Sunday according to betmgm.com. The money line is also Green Bay -500. Most expect this to be a Packers’ rout, and it very well could be. But Green Bay knows taking anyone in this league for granted can prove costly. “I think if you look at their roster, the paper, who they have on that team, what they can do, they got a lot of talent and things can turn around quickly for them,” Packers safety Xavier McKinney said. “We just got to kind of keep that in mind and know we not just walking into something and they just going to lay down. That’s not what they going to do.” The Browns certainly haven’t laid down on defense. Far from. Cleveland is allowing an NFL-best 191.5 yards per game. The Browns gave up 141 yards to Cincinnati in Week 1, including just seven in the second half, but still lost, 17-16. Cleveland has given up an NFL-best 45.5 rushing yards per game and just 2.1 rushing yards per attempt. “The biggest thing is our defensive line is much, much improved over last year and I think we’ve got back to our personality,” defensive coordinator Jim Schwartz said recently. “When we play our best, our D-line leads us there as our engine.” The Browns rank third in the league in passing defense, allowing just 146.0 yards per game. Cleveland has also gone 30 straight games without allowing a 300-yard passer, the longest active streak in the NFL.…
Share
BitcoinEthereumNews2025/09/18 00:41
Cathie Wood’s ARK Invest Buys $13.7M in Circle Shares While Selling Robinhood Stock

Cathie Wood’s ARK Invest Buys $13.7M in Circle Shares While Selling Robinhood Stock

TLDR ARK Invest bought 217,896 Circle Internet Group shares for ~$13.7M on July 9 ARK sold 85,319 Robinhood Markets shares worth ~$9.8M on the same day ARK has
Share
Coincentral2026/07/10 14:51
The changing face of elder care in Malaysia — Sayed Mohammad Reza Yamani Sayed Umar

The changing face of elder care in Malaysia — Sayed Mohammad Reza Yamani Sayed Umar

JULY 10 — An elderly society is becoming increasingly prevalent in Malaysia at present. It is projected that the p...
Share
Malaymail2026/07/10 15:24

$5M in SPCX Positions for Free

$5M in SPCX Positions for Free$5M in SPCX Positions for Free

0 fees, 100x leverage, daily prizes, 7K+ stocks/ETFs