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Kalshi CEO Responds to Ninth Circuit Ruling on Prediction Markets

By jili tutorial · September 4, 2026

Kalshi CEO Responds to Ninth Circuit Ruling on Prediction Markets

CEO Disagrees With Court’s Characterization of Kalshi

Tarek Mansour, chief executive officer of the prediction market platform Kalshi, has publicly pushed back against a recent Ninth Circuit ruling that sided with Nevada regulators seeking to oversee prediction markets. Speaking in an interview with RotoWire, Mansour expressed strong disagreement with how the court labeled his company.

Mansour noted that the Ninth Circuit’s decision contradicts an earlier ruling concerning New Jersey and prediction markets, creating legal uncertainty for his team. However, he emphasized that the court’s support for Nevada’s regulators was based on Rule 40.11, a regulation that could be amended in the near future.

Broader Implications for State Regulators

The Nevada ruling could serve as precedent for other states where regulators have been attempting to gain control over prediction markets. Multiple state regulators have opposed the sector, arguing it is nearly indistinguishable from unregulated betting. In contrast, prediction market operators like Kalshi insist their products do not constitute gambling, but rather are CFTC-regulated event contracts.

While the CFTC previously warned state regulators against intervening in this space, the recent Ninth Circuit decision may embolden other states seeking regulatory authority over prediction markets.

“Betting” vs. “Trading”: A Key Distinction

Mansour specifically took issue with Judge Ryan Nelson’s classification of Kalshi as a sports betting platform. The judge pointed out that Kalshi has advertised itself as “the first app for legal sports betting in all 50 states.” Mansour countered that the word “betting” carries more nuance than the court acknowledged.

“If you’re using the word ‘bet’ colloquially, you can bet on stocks,” Mansour explained. “When you buy Tesla stock, you’re sitting with a friend at dinner and you say, ‘I’ll just bet on Tesla,’ or ‘I just bet on Elon Musk,’ and it’s a normal thing to say.” He added that while regulators may call event contracts “betting,” many Kalshi users describe their platform activity as “trading.”

CEO Hints at Partnerships With NFL and NBA

Beyond addressing the legal landscape, Mansour used the RotoWire interview to tease potential agreements with major professional sports leagues. While he could not disclose specific deals, Mansour stated that discussions are ongoing and that industry followers “should expect announcements very soon,” at least from one of the two leagues.

Mansour Predicts League Embrace of Prediction Markets

Mansour believes it is only a matter of time before the NFL and NBA fully embrace prediction markets. His comments appear to contradict earlier statements from the NFL, which indicated the league was not considering entering this space. Meanwhile, RotoWire reported that the NBA is finalizing a framework that would allow prediction markets to use the league’s data and integrity monitoring systems.

Insider Trading and Charitable Plans

Mansour also addressed Kalshi’s ongoing insider trading issues, stating that he intends to donate funds seized from such individuals to charity.