Kalshi and Polymarket's wave of state-level lawsuits haven't stopped them; the path to compliance for prediction markets faces new uncertainties.

BlockBeats News, May 22 — According to Bloomberg, the Ninth Circuit Court of Appeals in the United States ruled that Kalshi and Polymarket cannot prevent enforcement lawsuits against prediction market platforms from continuing in state courts in Nevada and Washington.

The court stated that Kalshi and Polymarket failed to demonstrate that defending in state courts would cause "irreparable harm," nor did they prove that their claims regarding federal court jurisdiction have a higher likelihood of success, and therefore, their request to stay the related state-level lawsuits was denied.