CryptoBriefing reported that New Jersey has taken its legal battle against prediction market platform Kalshi to the U.S. Supreme Court. New Jersey filed a petition for a writ of certiorari with the Supreme Court, asking it to review the Third Circuit Court of Appeals' decision, which stripped the state government of its power to enforce gambling regulations on the grounds of federal law. New Jersey argues that Kalshi is selling products akin to sports betting without state approval, while Kalshi claims its products are Swaps financial instruments under the jurisdiction of the Commodity Exchange Act (CEA) and therefore not subject to state gambling laws. Previously, the Third Circuit Court of Appeals sided with Kalshi, stating that 'federal law preempts state law for contracts traded on CFTC-designated markets.'
