Who gets to block your Kalshi bets? Washington just escalated the fight
The CFTC has given designated contract markets and their intermediaries 30 days to remove geographic restrictions that exclude otherwise eligible US traders or explain why compliance is infeasible. The directive challenges the Sixth Circuit’s September reasoning that exchanges may use geofencing while meeting federal impartial-access rules, but does not overturn its separate rulings on Kalshi’s sports contracts or state gambling laws. The CFTC says geographic exclusions can fragment liquidity and weaken price discovery. The impact may extend to crypto distribution: Phantom’s Kalshi integration restricts access in some states. Other disputes remain pending, including a California order limited to sports contracts on tribal lands and a New Jersey petition that has not been accepted for review. Exchanges’ responses to the CFTC demand will determine which barriers change.
