Kalshi CEO Warns State Oversight Could Drive Markets Offshore
Tarek Mansour says a legal victory for state gambling regulators could push prediction markets firms to operate outside the United States.
Key takeaways
- Kalshi CEO Tarek Mansour said state oversight could force prediction markets firms offshore.
- Kalshi and the CFTC argue federal regulators should oversee prediction markets.
Kalshi CEO Tarek Mansour warned that prediction markets firms could move offshore if U.S. courts back states seeking to regulate them as gambling. He spoke Wednesday at DC Fintech Week near Washington.
States have challenged Kalshi and other firms, alleging they offer illegal sports wagering. Kalshi and the Commodity Futures Trading Commission argue that federal regulators should have sole oversight.
Federal appellate courts are split: one major ruling has favored Kalshi, while two have backed the states. New Jersey has asked the U.S. Supreme Court to hear the case.
Mansour said he feels “pretty good” about Kalshi’s legal position. He described the dispute as a choice between prediction markets operating in the U.S. or moving offshore.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
