- New Mexico AG Torrez has filed a lawsuit against Kalshi, Inc. and KalshiEX LLC. The lawsuit alleges that the company is offering online sports unlawfully in New Mexico and actively evading state gaming laws and regulations by creating an online platform that functions as a sportsbook without obtaining any gaming license from the state and allowing participation of individuals under the age of 21.
- Separately, Nevada AG Ford announced that his office had obtained a preliminary injunction against prediction market Polymarket. Polymarket is no longer allowed to offer sports, election, or entertainment-related event contracts within Nevada.
- These developments continue the ongoing fight between AGs and the rapidly growing predictive market industry that is reshaping gaming in the US. Other state AGs (including Rhode Island, Wisconsin, Arizona) have recently targeted these online prediction markets with lawsuits alleging unlawful gaming in their states.
- In December 2025, a coalition of 37 states filed an amicus curiae brief in the U.S. Court of Appeals for the Fourth Circuit, reinforcing the regulation of sports betting.