Case 1:25-cv-08846-AT Document 60-1 Filed 12/03/25 Page 28 of 31
operation of the tribal governments and the provision of tribal services” and that, in some instances, tribal casinos “are also the major sources of employment on the reservations.” Id. at 218–19. Following Cabazon , Congress declared in IGRA that “[t]he purpose of [IGRA] is … to provide a statutory basis for the operation of gaming by Indian tribes as a means of promoting tribal economic development, self-sufficiency, and strong tribal governments ….” 25 U.S.C. § 2702(1). 16 Kalshi tramples upon established federal Indian policy by usurping the rights of tribes to regulate gaming on Indian land and benefit from such gaming. IGRA mandates that tribes “have the exclusive right to regulate gaming activity on Indian lands.” 25 U.S.C. §§ 2701(5), 2710(d)(1)(C). Kalshi violates this exclusive right, which is particularly dangerous because it does not comply with any gaming regulations that protect consumers, ensure fairness, or mitigate negative gaming impacts. 17 Finally, Kalshi is siphoning revenue from tribal governments in violation of federal Indian policy. IGRA requires all revenues from tribal gaming be used for governmental or charitable purposes. 25 U.S.C. § 2710(b)(2)(B). As Justice Sotomayor explained in Bay Mills : “[T]ribal gaming operations cannot be understood as mere profit-making ventures that are 16 To the extent Kalshi argues, as others have, that the policy concerns raised by Tribal Amici are for Congress to decide, see Pl.’s Resp. Amici Curiae Brief at 5, Crypto.com , No. 2:25-cv-00978, (D. Nev. Sept. 29, 2025) ECF No. 92; Pl.’s Resp. to Brief of Amici Curiae at 6 , Dreitzer , No. 2:25-cv-01541 (D. Nev. Oct. 14, 2025) ECF No. 49, Congress has already done so through IGRA, which was not repealed by the CEA. 17 This lack of responsible gaming measures and consumer protections, which are required by legal gaming operations, is dangerous and contrary to the public interest. Recently, Josh Sterling (a former CFTC employee and the lawyer representing Kalshi) dismissed such responsible gaming concerns, stating: “People are adults, and they’re allowed to spend their money however they want it, and if they lose their shirt, that’s on them.” Jessica Welman, Kalshi’s lawyer goes hard at state-regulated gambling , SBCAmericas, (Jul. 11, 2025), available at https://sbcamericas.com/2025/07/11/kalshi-nclgs-sports-contract-debate/?amp.
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