Case: 3:25-cv-00698 Document #: 1 Filed: 08/20/25 Page 27 of 47
Kalshi has otherwise promoted or advertised that its platform, website(s), software, and/or application(s) allow for “betting.” ( See Exhibit D ). 100. As part of its widespread promotional strategy, Kalshi has described its platform as a place for placing “live bets” in various promotional materials including billboard signs, out-of-home advertising on bus stops, on trucks, and the sides of buildings, in various locations including New York City, Los Angeles, Miami, and Dallas. 101. Social media users have raised questions and/or concerns regarding the legality of Kalshi’s platform, website(s), software, and/or application(s). Examples include questions by consumers such as (i) “Serious question – how is this legal?” and (ii) “I just wanted to confirm before using Kalshi. Washington state has strict ‘gambling’ laws in place and I know Kalshi is a trading app for contracts. Is there a guarantee I will not get into any legal trouble for using there [sic] app in the state?.” 19 ( See Exhibit E ). 102. Other social media users have expressed concerns over the legality and morality of the Kalshi’s platform and offerings, stating: “Kalshi is dangerous. Sports betting should not be okay for under 21 let alone in all 50 states.” ( See Exhibit E ). 103. Similarly, on one of Kalshi’s promotional or sponsored TikTok videos, various TikTok users commented: “This shouldn’t be legal”; “Betting culture is crazzyyy”; “Didn’t Enron do the exact same thing?”; “Enron is back baby!”; “Betting on the weather is insane”; “Predatory marketing”; “Calling it a trading app is crazy”; “I ‘traded’ it all on black and now im by the wendy’s dumpster if anybody wants service for a $5”; “Addiction type beat”; “1-800-GAMBLER”; “‘Trading’”; “‘Trade’ ima buy $15 that it’s sunny tomorrow. Yea that’s a trade alright”; “As a meteorologist would this be insider trading?”; “Holy addiction”; “‘I traded that I’d
19 https://www.reddit.com/r/Kalshi/comments/1m0c3da/legality_behind_kalshi/ (last accessed on July 24, 2025).
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