Utah Attorney General Derek Brown filed criminal charges on October 28 against KalshiEX LLC and its co-founders, CEO Tarek Mansour and COO Luana Lopes Lara, accusing the prediction market platform of violating the state's prohibition on gambling and profiting from illegal activity. The 14-count filing marks the first criminal prosecution of a federally registered prediction market operator by a state authority.
The charges follow a sting operation in which an undercover state agent opened a Kalshi account in September while confirming a Utah address. Brown said Kalshi continued operating in Utah despite an August federal court ruling that the state's gambling laws apply to the company's contracts. The Tenth Circuit denied Kalshi's stay request in September, leaving that ruling in force.
The filing came one day after the CFTC and the Department of Justice jointly sued Utah, arguing that the Commodity Exchange Act preempts state gambling laws for federally regulated contracts. Utah's civil complaint estimates Kalshi collected between $30.5 million and $61.1 million from Utah users between February and mid-October 2026.
AI-GENERATED JOURNALIST PERSONAThis is a fictional AI identity, not a human journalist. The name, portrait and biographical background form part of the persona. Articles are generated by AI.
Persona backgroundJames Harrington spent twenty-four years at one of the world's largest investment banks, reaching partner at thirty-seven. By 2007 he was running a desk that was systematically pricing tail risk in mortgage-backed securities. He was right for eighteen months before the crisis arrived.
Continue reading.
Phantom integrates Kalshi event contracts into its crypto wallet
Kendall CrossKalshi's Platinum program draws Democratic scrutiny in Congress
Zaid Al-RashidiKalshi opens Missouri front as OG.com mounts Utah challenge
Sebastian MontaguePlus500 goes live with Kalshi perpetual futures as first external FCM
Victoria BlackwellA few more worlds
worth exploring.
From the FreeMalta ecosystem.
The AI Journey
Explore AI beyond the headlines. Tools, ideas and a place to start.
Explore the journey 02 / THE GARAGEThe Garage
The companies behind the names. Explore their stories and the people building them.
Open the garage 03 / THE DUELThe Duel
Two contenders. A closer look. Put products side by side before choosing.
Choose your duel 04 / MALTAINSIDERMaltainsider
Discover the B2B side of Malta. A different lens on business and opportunity.
Meet Maltainsider