The U.S. Capitol Building in Washington, D.C., under stormy skies on July 22, 2024.
Samuel Kunlun | Getty Images
a federation Court of Appeal on Wednesday refused to block a lower court ruling that would allow Americans to bet on the outcome of the 2024 congressional elections.
An appeals court rejected the federal Commodity Futures Trading Commission’s effort to ban commodities exchange KalshiEx from offering “congressionally controlled contracts,” while the Commodity Futures Trading Commission appealed a lower court ruling that gave the green light to such bets.
Judge Patricia Millett of the U.S. Court of Appeals for the District of Columbia Circuit wrote that the CFTC “has currently failed to demonstrate that it or the public would be irreparably harmed” if the contracts offered pending appeal are not stayed. .
Millett said the agency could revive its proposal to block the contracts “if conclusive evidence emerges.”
The CFTC banned KalshiEx from listing the contracts on exchanges regulated by the commission, arguing that they violated laws prohibiting election gambling in many states.
But a U.S. District Court judge in Washington, D.C., ruled last month that the CFTC erred in determining that KalshiEx’s congressional contract involved betting or gambling.
The committee then asked the D.C. Circuit Court of Appeals to preserve the justice’s ruling while an appeal of the decision takes place.
CNBC has asked the CFTC and KalshiEx for comment.
This illustration photo shows money and gambling dice in front of a screen showing political market odds on November 1, 2023 in Los Angeles.
Chris Delmas | AFP | Getty Images
This is breaking news. Please refresh for updates.
About The Author
