CFTC to Drop Appeal Against Prediction Market Kalshi

The Commodity Futures Trading Commission (CFTC) on Monday moved to withdraw its appeal of a federal judge’s decision allowing commodities exchange KalshiEx to place bets on US political election outcomes.

In a filing at the US Court of Appeals for the District of Columbia Circuit, the CFTC stated that its dismissal was voluntary and mutually agreed upon with Kalshi. A CFTC spokesperson informed CNBC that the commission had previously voted to seek dismissal of the appeal.

Under the agreement, both parties will cover their own costs and legal fees, and Kalshi will waive all legal claims from the litigation.

Kalshi CEO Tarek Mansour commented:

“Today is historic. We have always believed that doing things the right way, no matter the difficulty, pays off.” He added, “This result confirms that. Kalshi’s approach has officially and decisively secured the future of prediction markets in America.”