CFTC sues Kentucky over prediction markets enforcement actions; first 'red state' to face such lawsuit

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The Commodity Futures Trading Commission said Tuesday that it's filing suit against Kentucky. The action comes after the state sued prediction market platforms Kalshi and Polymarket , asserting the companies were operating illegal gambling platforms. Kentucky is the ninth state the CFTC has sued in the agency's battle to defend what it said is its exclusive jurisdiction to regulate prediction markets. Front Office Sports was first to report the federal government's lawsuit on Tuesday. "Kentucky is the latest state attempting to shut down federally-regulated event contracts," said CFTC Chair Michael Selig in a press release announcing the lawsuit. "As I've consistently pledged, the CFTC is firmly committed to maintaining its exclusive jurisdiction over prediction markets, and today's lawsuit against Kentucky is yet another example of the Commission protecting its federal interests." Notably, Kentucky is the first state with a Republican attorney ...
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