Cryptoeconomics

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Regulator

Washington State Attorney General

The office that sued KalshiEX in March 2026 under Washington's Consumer Protection Act, Gambling Act and Recovery of Money Lost at Gambling Act, and on 12 August 2026 won an order requiring the exchange to geofence the state against event contracts on sports, elections, politics, entertainment, culture, tech and science and mentions.

Kind Regulator
Jurisdiction United States
Stories filed 1

The profile

The Washington State Attorney General is Nick Brown, and the action against KalshiEX is brought by the office's Consumer Protection Division under RCW 19.86.080, RCW 19.86.140 and RCW 43.10.030. Three statutes are in play together: the Consumer Protection Act at RCW 19.86, which reaches unfair or deceptive acts in trade or commerce affecting the public interest; the Gambling Act at RCW 9.46, which the Legislature amended in 2006 to ban internet gambling and in 2020 to permit sports wagering only on tribal lands under compact; and the Recovery of Money Lost at Gambling Act at RCW 4.24.070, which lets losses be recovered. Washington has restricted gambling since statehood in 1889, when its constitution prohibited gambling on state lands. The office's case rests in part on the Washington State Gambling Commission's notice of 9 December 2025 that offering event-based contracts, or participating in these markets, is not authorised in Washington State, and on Kalshi's advertising to Washington consumers, including a spot in which one person tells another they have found a way to bet on the NFL even though they live in Washington. The case is State of Washington v. KalshiEX, LLC, King County Superior Court number 26-2-10264-3 SEA, before Judge John F. McHale.

Frameworks and functions

State of Washington v. KalshiEX, LLC
Filed in March 2026 in King County Superior Court, case 26-2-10264-3 SEA. A preliminary injunction was granted in July 2026 and amended on 12 August 2026 with geofencing deadlines of 19 August and 2 September and a $120,000 per day exposure thereafter. The Court of Appeals denied Kalshi's motion to stay.
Consumer Protection Act action
RCW 19.86.020 reaches unfair or deceptive acts or practices in trade or commerce affecting the public interest. The court concluded that Kalshi's provision, marketing and advertising of illegal gambling activities constitute such acts, and enjoined advertising to Washington consumers about the wagers the order covers.

Coverage

Developments in which Washington State Attorney General is a named party, newest first.

On the record

Washington court orders Kalshi to geofence the state against most event contracts

A King County Superior Court judge signed an amended preliminary injunction on 12 August 2026 requiring KalshiEX to stop offering event contracts on sports, elections, politics, entertainment, culture, tech and science and mentions in Washington, with geofencing through GeoComply by 2 September and $120,000 a day thereafter. It holds the Commodity Exchange Act does not preempt state gambling law.

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