EAST LANSING, Mich — Michigan Attorney General Dana Nessel has filed a lawsuit against Kalshi, a popular prediction market platform, alleging the company is unlawfully offering sports wagering in Michigan.
- Kalshi is a popular prediction market platform, and allows users to buy shares to predict the outcome events ranging from politics to sports.
- Michigan Attorney General Dana Nessel is suing the company, saying their sports prediction market is "unlawfully" operating in the state.
- The lawsuit aims to block Kalshi's sports operations in Michigan.
WATCH BELOW: Michigan Attorney General Dana Nessel is suing Kalshi
Nessel filed the suit on behalf of the Michigan Gaming Control Board. The lawsuit claims Kalshi's business model — which allows users to trade shares on the outcome of real-life events, including sports and politics — lets users bet on sports "under the guise of trading event contracts."
The attorney general's office says Kalshi is offering these wagers without being licensed by the Michigan Gaming Control Board, making its operations unlawful in the state. The lawsuit aims to stop Kalshi from operating or advertising its sports prediction market in Michigan.
Nessel said in a statement:
"Corporations cannot circumvent state gaming laws. My office will hold those who sidestep Michigan's consumer protections accountable and ensure that betting in our state remains lawful, fair and subject to the oversight our residents expect and deserve."
Kalshi user Nazir Scott said he was not surprised by the news, and that he understands why others may take issue with the platform.
"I know a lot of people that are underage that use Kalshi. Like people that are under 21, and technically that's not 'legal gambling.' They can still use it. I think it should probably be banned, if I'm being honest."
I reached out to Kalshi for comment on the lawsuit, but did not hear back.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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