Case: 2:25-cv-01165-SDM-CMV Doc #: 69 Filed: 03/09/26 Page: 1 of 21 PAGEID #: 894
UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF OHIO EASTERN DIVISION
KALSHIEX, LLC,
:
Plaintiff,
Case No. 2:25-cv-1165 Chief Judge Sarah D. Morrison Magistrate Judge Chelsey M. Vascura
v.
MATTHEW T. SCHULER, et al .,
:
Defendants.
OPINION AND ORDER
KalshiEX, LLC operates a futures exchange specializing in event contracts.
An event contract is a “form of derivatives contract” that allows “users” across the
nation to “trade on the outcome of real-world events.” (Compl., ECF No. 1, ¶¶ 29,
46.) In January 2025, Kalshi listed its first contract allowing traders to take
positions on the outcome of a sporting event. Given the sports-event contracts’
resemblance to sports betting, state gaming regulators began knocking on Kalshi’s
door; Ohio’s Casino Control Commission was among them. After months of
correspondence, the Commission concluded that Kalshi’s provision of sports-event
contracts to Ohio consumers violated state law; it threatened to initiate civil and
criminal enforcement actions if Kalshi continued.
Kalshi initiated this suit to enjoin the Commission and the Ohio Attorney
General from regulating contracts traded on Kalshi’s exchange. (Compl.) The
matter is before the Court on Kalshi’s Motion for Preliminary Injunction. (Mot.,
ECF No. 11.) Ohio responded (Resp., ECF No. 31-5) and Kalshi replied (Reply, ECF
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