Source: CNBC
Summary
The Commodity Futures Trading Commission (CFTC) announced on Friday that it has obtained a temporary restraining order against Arizona, preventing the state from pursuing a criminal case against Kalshi. The CFTC said the court’s decision will allow Kalshi to continue operating while the regulatory agency investigates the company. The CFTC had previously filed a complaint against Kalshi, alleging that the company was operating an unregistered derivatives exchange. Arizona had also filed a separate lawsuit against Kalshi.
Our Reading
The announcement sounds ambitious.
The CFTC gets a temporary restraining order against Arizona to protect Kalshi. Because what’s a little regulatory turf war between friends? Kalshi gets to keep on keeping on while the CFTC figures out what’s what. Sounds like just another day in the world of derivatives regulation. The CFTC is basically saying, “Hey Arizona, back off, we got this.” And Arizona is all, “But CFTC, we had a case!” Too bad, Arizona.
Author: Evan Null
