TLDR Nevada regulators say Kalshi missed an August 12 court deadline to block certain event contracts in the state. The Nevada Gaming Control Board wants $120,000 in daily fines plus legal fees. Investigators placed trades from inside Nevada a day after the deadline using an older version of the Kalshi app. Kalshi says investigators misrepresented their location and worked around its blocking system. Testing in Michigan found a similar gap tied to the same older app version.
Nevada gaming regulators and prediction market platform Kalshi are locked in a legal dispute over whether the company met a court-ordered deadline to stop offering certain bets in the state.
The fight centers on event contracts tied to sports, elections, and entertainment. A judge had ordered Kalshi to block these contracts for Nevada users by August 12.
On August 14, the Nevada Gaming Control Board told a Carson City court that Kalshi failed to meet that deadline. The board asked the court to impose fines of $120,000 for every day the company stays out of compliance, along with legal fees.
Investigators said they placed nine trades from inside Nevada the day after the deadline passed. They used mobile phones connected to Nevada cell networks to do it.
Kalshi disputes how those trades happened. The company says investigators misrepresented their residence and, in one case, worked around the restrictions meant to block them.
NEWS: The @Kalshi – Nevada fight just got nastier.
In a blistering letter Friday, Kalshi accused Nevada of an “abuse of state power” and of deliberately singling out the prediction market because it chose to fight the state in court.
The immediate fight: geofencing. pic.twitter.com/9WbJ8LB5gL
— Bill Speros (@billsperos) August 15, 2026
Kalshi and Nevada Trade Accusations
Kalshi’s general counsel, Rick Heaslip, said the