Kalshi has achieved over $1 billion in monthly trading volume, dominating the prediction market with a 62% global market share, surpassing Polymarket's 37%. This substantial growth coincides with the NFL season kickoff. However, the company faces legal challenges as four states, including Massachusetts, have filed lawsuits alleging that Kalshi functions as an unlicensed sportsbook. These states argue that Kalshi’s event contracts resemble illegal betting, seeking a permanent ban on its operations. Despite operating under federal regulation as a designated contract market by the CFTC, which Kalshi argues should preempt state laws, the platform continues to attract significant business. The lawsuits highlight the ongoing tension between innovation in prediction markets and the regulatory frameworks governing gambling.

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