News linked to both this project and an event.
Odaily News: U.S. Democratic Senator Elizabeth Warren stated that she still hopes to push a crypto regulatory bill into law, but does not support the current version of the Clarity Act.Warren said the Clarity Act is Washington's first opportunity to achieve "meaningful crypto regulation," but any bill must include several core elements: regulating public officials' crypto investments, protecting national security and consumers, and strengthening the fight against illicit finance and terrorist financing.Her stance could become more critical next year. If Democrats regain control of the Senate after the November election, Warren could become chair of the Senate Banking Committee, one of the key bodies for digital asset regulatory legislation. The article notes that Kalshi prediction markets currently show a 52% probability of Democrats retaking the Senate.When asked whether she would lead crypto legislation if she headed the Banking Committee, Warren said she would be willing. She said she is willing to sit down with Democrats, Republicans, and the industry to craft a crypto bill that protects national security, protects the economy, and reduces corruption.
According to Chaoxiang research, Bernstein's September 14, 2026 report indicates that the Kalshi prediction market has rebounded to a greater than 30% probability for the passage of the CLARITY Act. The CLARITY Act, officially the Digital Asset Market Clarity Act, centers on establishing a federal regulatory framework for the U.S. cryptocurrency market, delineating regulatory boundaries between the SEC and CFTC, and clarifying exchange compliance requirements and stablecoin yield rules. The latest Senate Republican draft has made substantive concessions on Trump-related ethics provisions and incorporates a "new circuit breaker" clause to address concerns over deposit outflows from community banks. A procedural vote is scheduled for Tuesday, with the Federal Reserve set to announce its interest rate decision on Wednesday.
According to The Block, Bernstein analysts indicated that Senate Republicans' progress on the Clarity Act may surpass market consensus expectations. The Republican proposal has been finalized, incorporating 126 substantive amendments put forward by Democrats. President Trump has also endorsed most measures within the bipartisan ethics framework, including granting enforcement authority to state attorneys general. Bernstein pointed out that the crypto market currently holds a pessimistic view toward Tuesday’s procedural vote, with "any upside surprises not yet priced in." The probability of the bill's passage on prediction market platform Kalshi has climbed back above 30%. Analysts cautioned that a failure to pass the legislation, combined with hawkish remarks from the Federal Reserve, could trigger a "significant pullback" in markets. However, even if the bill fails, it will accelerate SEC and CFTC crypto regulatory rulemaking rather than derail broader regulatory efforts.
Odaily News: Bitcoin News posted on X platform that after the CFTC approved Kalshi's Bitcoin perpetual contracts as futures products, uncertainty remains over how traders should report gains to the IRS. If the product is recognized as a regulated futures contract under Section 1256 of the U.S. tax code, the related gains are typically treated as 60% long-term capital gains and 40% short-term capital gains, regardless of the holding period. CME believes that Kalshi's perpetual contracts are actually swaps, and swaps are explicitly outside the scope of Section 1256. The CFTC's classification supports the view that they are futures products, but it is not binding on the IRS. Until the IRS, U.S. Congress, or courts directly address Bitcoin perpetual contracts, their tax treatment remains undetermined.
According to The Wall Street Journal, prediction market platform Kalshi plans to seek U.S. regulatory approval to launch perpetual contracts on approximately 60 stocks and ETFs, including Tesla, Apple, and Nvidia, with round-the-clock trading enabled. If approved, they would become the first regulated single-stock perpetual contracts in the U.S.
The European Securities and Markets Authority (ESMA) released a report stating that platforms such as Polymarket and Kalshi lack the formal authorization required to sell contracts to users in the EU. Regulators have also questioned the effectiveness of these platforms in enforcing geo-restrictions and anti-VPN measures.
According to Hyperliquid News, the Hyperliquid Policy Center has filed an amicus brief with the U.S. District Court for the District of Columbia, seeking to dismiss the lawsuit brought by the Chicago Mercantile Exchange (CME) against the Commodity Futures Trading Commission (CFTC). The lawsuit concerns the CFTC's prior approval of regulated cryptocurrency perpetual contracts through Kalshi in the United States. CME had previously challenged that regulatory decision in court, and the Hyperliquid Policy Center now supports the CFTC, arguing that the court should dismiss CME's lawsuit.
Odaily News According to Odaily, Prediction market platform Kalshi has not yet filed its response with the U.S. Supreme Court, with a 30-day deadline for its response to New Jersey's September 2 filing. New Jersey is asking the court to determine whether states can regulate sports betting offered on exchanges registered with the Commodity Futures Trading Commission (CFTC), as the Third Circuit Court of Appeals and the Ninth Circuit Court of Appeals are split on the issue.Kalshi CEO Tarek Mansour stated that the CFTC will issue new rules within the coming weeks or months to further clarify Rule 40.11. Kalshi's litigation lead Jovy Dedaj and spokesperson Dani Lever also noted that the Ninth Circuit's ruling was primarily based on regulatory provisions currently being rewritten.In June, the CFTC proposed replacing its blanket prohibition on betting contracts with case-by-case public interest reviews, under which sporting events would be classified as gambling, though most game outcomes and special wager contracts could still be permitted. After Kalshi submits its response, New Jersey will have 10 days to reply, and the Supreme Court typically schedules a conference to consider the case about a month thereafter. (Bitcoin.com News)
Odaily News: Prediction market platform Kalshi recorded 15.4 million U.S. visits in July, up approximately 1,520% from fewer than 1 million visits in August 2025; U.S. visits accounted for nearly 80% of its total traffic, higher than the 72.8% recorded during the same period.Kalshi's August monthly notional trading volume reached approximately $40 billion, up roughly 4,500% from $874 million in the same period last year. During the same timeframe, the prediction market industry's monthly notional trading volume rose from approximately $2 billion to $50.7 billion, with Kalshi accounting for nearly 79% of the latest total.Sports contracts accounted for 83% of Kalshi's July trading volume. Whether Kalshi's sports contracts fall under federal regulation or state gambling laws is subject to legal dispute, and New Jersey has brought the matter before the U.S. Supreme Court.Canada recorded approximately 450,000 visits in July, and the U.K. around 296,000 visits, both higher than the roughly 50,000 and 31,000 visits in August 2025, respectively. Users in both regions are currently prohibited from directly accessing or trading on Kalshi under its membership agreement. Kalshi has partnered with Canadian financial services firm Wealthsimple to offer nearly 4,000 eligible contracts through a standalone application. (Cointelegraph)
Michigan has accused prediction market platform Kalshi of illegally offering sports betting, and a court has issued a preliminary injunction that could result in fines of up to $500,000 per day for the violations.
According to Decrypt, Ingham County Circuit Court Judge Rosemarie Aquilina has issued a preliminary injunction against prediction market platform Kalshi, ordering it to stop offering sports betting-related contracts to Michigan residents. The court determined that Kalshi's relevant operations are essentially "sports betting disguised as investment opportunities."
According to Sportico, prediction market platform Kalshi delisted betting markets related to athlete injury duration and availability on Tuesday, following an order from its federal regulator, the U.S. Commodity Futures Trading Commission (CFTC), to cease related operations.
Odaily News According to data from prediction market platform Polymarket, the CLARITY Act has a 15% probability of completing legislation and receiving the President's signature by 2026, with related contract trading volume reaching approximately $11.62 million. Kalshi data shows that the probability of this bill or other qualifying crypto market structure bills becoming law before July 1, 2027, is 30%, and 50% before January 1, 2028.In remarks during a hearing on September 2, House Financial Services Committee Chairman French Hill highlighted the House's passage of the CLARITY Act as a committee achievement, stating that Republican committee members are pushing to codify related reforms into law to make financial rules durable and predictable over the long term.According to the U.S. Senate schedule, the motion to invoke cloture on H.R. 3633 could move to a vote as early as September 15 at 2:15 p.m., typically requiring 60 votes. The Senate Banking Committee advanced the bill on May 14 with 15 votes in favor and 9 against. The subsequent amended text addresses the regulatory authority of the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), consumer protections, illicit finance, DeFi, intermediary oversight, and disclosure requirements. (Bitcoin.com News)
Odaily News: New Jersey Attorney General Jennifer Davenport and acting director of the state's Division of Gaming Enforcement, Mary Jo Flaherty, have filed a petition for a writ of certiorari with the U.S. Supreme Court, requesting review of the state's enforcement action against prediction market platform Kalshi over its sports event contracts.The petition cites civil cases brought by at least 20 state gaming regulators and asks the Supreme Court to rule on whether prediction market companies may still violate state laws while complying with regulations set by the U.S. Commodity Futures Trading Commission (CFTC). The petition also addresses whether the Dodd-Frank Act precludes state regulatory authority over sports betting within their jurisdictions.The filing challenges a 2-1 ruling issued by the U.S. Court of Appeals for the Third Circuit in April. Kalshi spokesperson Dani Lever stated that the company disagrees with New Jersey's appeal to the Supreme Court, adding that Kalshi cannot operate under separate oversight from 50 regulators, and that the company remains confident in the lower court's ruling. (Cointelegraph)
The New Jersey Supreme Court dismissed the CFTC's injunction request, ruling to allow Kalshi to continue providing prediction market trading services, underscoring jurisdictional disputes between federal and state regulators over emerging financial products.
Odaily News Crypto enterprises, asset managers, market makers, and consumer advocacy groups have submitted comments to the U.S. Securities and Exchange Commission (SEC) in response to its request for input on the regulatory framework for "novel ETFs," covering exchange-traded products such as crypto assets, private assets, event contracts, and leveraged strategies.Crypto industry organization Crypto Council for Innovation (CCI) recommended extending certain regulatory accommodations applicable to ETFs to non-ETF exchange-traded products. Venture capital firm Andreessen Horowitz (A16z) stated that the SEC should assess products based on their underlying assets and risk profiles, rather than treating all novel ETFs as a single category.Grayscale opposed adding new portfolio restrictions for mature digital asset products, while Chainalysis suggested leveraging public blockchains to enable real-time monitoring and verifiable disclosures. Kalshi expressed support for including event contracts in registered funds, whereas consumer advocacy group Public Citizen opposed offering event contract ETFs to retail investors. The SEC will evaluate whether to adopt a unified regulatory framework or craft separate rules based on product structure and risk. (Decrypt)
Odaily Odaily News The prediction market exchange Kalshi has suspended North Carolina Republican House candidate Laurie Buckhout from trading for three years due to her trading of contracts related to her own congressional election. The settlement took effect on Friday, and she is also required to pay a fine of $2,589.96.During her campaign against Democratic Rep. Don Davis for North Carolina's 1st Congressional District, Buckhout purchased related contracts worth less than $1,000. Under Kalshi's rules, candidates are considered persons with direct decision-making influence over outcomes and are prohibited from trading related contracts.Kalshi has previously suspended Minnesota Senator Matt Klein, former Texas congressional candidate Ezekiel Enriquez, and Virginia Senate candidate Mark Moran for five years each over candidates betting on their own elections. Former Rep. George Santos was permanently banned for trading contracts related to his own attendance at the State of the Union address and was fined $71,356.Buckhout won the Republican primary in March of this year and will face Don Davis again in the election; she previously lost by less than two percentage points in 2024. Kalshi is regulated by the U.S. Commodity Futures Trading Commission (CFTC) and has processed tens of billions of dollars in trading volume over the past year. (Decrypt)
Odaily News: Andy Ross, head of institutional business at Kalshi, said that Kalshi has submitted an application to regulators to launch perpetual contracts based on foreign exchange and interest rates. The application was submitted on Monday and had not appeared in the U.S. Commodity Futures Trading Commission (CFTC) public filing system as of Tuesday afternoon. Previously, the CFTC approved Kalshi to list bitcoin perpetual contracts in May this year, followed by the launch of ETH and XRP perpetual contracts. Since then, Kalshi has continued to expand perpetual contracts beyond cryptocurrencies: it submitted applications for gold, silver, and platinum perpetual contracts in July, and on August 18, it submitted applications for U.S. large-cap stock index and copper perpetual contracts. Ross said Kalshi hopes to bring multiple asset classes such as stocks, commodities, cryptocurrencies, fixed income, and interest rates into a unified trading interface. Currently, the platform's market count has increased from approximately 4,000 to around 10,000, and activity has gradually spread from a few popular markets to a wider range of markets.
Prediction market platform Kalshi has implemented new rules prohibiting elected officials and candidates from trading in markets directly related to their own office or campaign, in response to regulatory compliance requirements and to curb insider trading allegations.
Odaily News - The U.S. Court of Appeals for the Ninth Circuit ruled 3-0 on August 28 that sports event contracts offered by Kalshi are not swaps, and that the Commodity Exchange Act does not preclude Nevada from applying gambling regulations to the relevant contracts. The court also vacated a prior injunction that allowed Kalshi to continue offering the contracts, and denied injunction requests from Crypto.com and Robinhood.The U.S. Court of Appeals for the Third Circuit ruled in April of this year that Kalshi's related contracts were likely swaps and protected by federal law from state regulation. The two federal appellate courts are now split on the issue, and New Jersey has a September 3 deadline to petition the U.S. Supreme Court for review.Kalshi said it will seek further review and believes current U.S. Commodity Futures Trading Commission (CFTC) rules do not prohibit sports event contracts. Robinhood said it plans to appeal; the CFTC, meanwhile, noted that derivatives structured as swaps qualify as swaps, and except for onions and movie box office revenue, the law provides no related exemptions. (Bitcoin.com News)