alt Hacker NewsThese are the CFTC licensed contract markets, which are not the same exact thing.
I'm not sure how to explain all this without writing a 70 page dissertation on HN, and it's probably not worth it :)
Overall - this is a wildly complicated area. To give you an idea how complicated: Ignoring state law, transmitting gambling information for sports events over the wire is a federal crime. See 18 U.S.C. § 1084(a), which makes it a crime for a person “engaged in the business of betting or wagering” knowingly to use an interstate or foreign wire facility to transmit bets/wagers or information assisting bets/wagers “on any sporting event or contest.”
(It's legal if you are transmitting from a jurisdiction where it's legal to a jurisdiction where it's legal).
This has been upheld repeatedly for sporting events.
New york can, and did, include a claim to enjoing them from violating this act, which has absolutely no pre-emption issue because it's not a state law.
The case you cited is going to end up in the supreme court, where it will be a toss up. (in previous supreme courts, it would be a non-starter and the third circuit would have been summarily reversed)
I don't think you're disputing that the requested order would halt Kalshi's operations nationwide for as long as Kalshi remained headquartered in NYC though? The CFTC's framing is disingenuous, presumably because they wanted to create a false impression that NY was attempting to regulate activity without any nexus in that state, but that's still the practical effect given Kalshi's current location.