US prediction market operators encountered contrasting regulatory developments during the first half of August. Nevada mandated geofencing for Kalshi users by 12 August, while the CFTC issued warnings regarding contract self-certification.
State and Federal Oversight
Nevada regulators required Kalshi to block access for users located within the state by 12 August. The platform faces a daily penalty of $120,000 for non-compliance. Concurrently, the Commodity Futures Trading Commission directed market operators to avoid self-certifying their trading contracts.
Fanatics acquired an existing exchange to launch a federally regulated prediction market under its own control. Robinhood initiated discussions with Crypto.com regarding potential collaboration in the sector.
These developments indicate that regulatory compliance now determines market access rather than platform features. Operators must align their licensing frameworks with federal and state requirements to maintain legal trading status.