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domains/internet-finance/polymarket-achieved-us-regulatory-legitimacy-through-qcx-acquisition-establishing-prediction-markets-as-cftc-regulated-derivatives.md
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@ -72,7 +72,7 @@ Better Markets argues that CFTC jurisdiction over prediction markets is legally
### Additional Evidence (challenge) ### Additional Evidence (challenge)
*Source: [[2026-03-19-coindesk-ninth-circuit-nevada-kalshi]] | Added: 2026-03-19* *Source: 2026-03-19-coindesk-ninth-circuit-nevada-kalshi | Added: 2026-03-19*
Ninth Circuit denied Kalshi's motion for administrative stay on March 19, 2026, allowing Nevada to proceed with temporary restraining order that would exclude Kalshi from the state entirely. This demonstrates that CFTC regulation does not preempt state gaming law enforcement, contradicting the assumption that CFTC-regulated status provides comprehensive regulatory legitimacy. Fourth Circuit (Maryland) and Ninth Circuit (Nevada) both now allow state enforcement while Third Circuit (New Jersey) ruled for federal preemption, creating a circuit split that undermines any claim of settled regulatory legitimacy. Ninth Circuit denied Kalshi's motion for administrative stay on March 19, 2026, allowing Nevada to proceed with temporary restraining order that would exclude Kalshi from the state entirely. This demonstrates that CFTC regulation does not preempt state gaming law enforcement, contradicting the assumption that CFTC-regulated status provides comprehensive regulatory legitimacy. Fourth Circuit (Maryland) and Ninth Circuit (Nevada) both now allow state enforcement while Third Circuit (New Jersey) ruled for federal preemption, creating a circuit split that undermines any claim of settled regulatory legitimacy.