DOJ and CFTC Sue Arkansas to Shield All Federally Regulated Prediction Markets

TLDR The DOJ and CFTC sued Arkansas on November 12 over its enforcement action against Kalshi. The federal case seeks protection for all CFTC-regulated exchanges, their affiliates and partners. Regulators argue the Commodity Exchange Act gives the CFTC exclusive power over derivatives. Arkansas accuses Kalshi of offering illegal gambling without a state license. New CFTC guidance gives exchanges 30 days to end location-based blocks on US traders. The US Justice Department and the Commodity Futures Trading Commission (CFTC) filed a lawsuit against Arkansas on November 12.