Kalshi is a federally regulated prediction market exchange, but its legal status has faced challenges in several US states. In this guide, we explain how Kalshi is regulated, where it is available and what ongoing state-level disputes mean for users
At the time of writing this guide, Kalshi is available in 41 states.
However, there is plenty of discussion surrounding the legality of the exchange in specific US states, and we unpack the relevant details, plus share some of the core features of using the exchange.
Kalshi is a prediction market exchange regulated by the Commodity Futures Trading Commission (CFTC). It operates as a Designated Contract Market (DCM), although this does not automatically mean all its contracts are permitted in every US state.
Kalshi’s availability depends on your location, eligibility and the types of contracts offered. Before signing up or trading, it’s important to check the platform’s current restrictions.
The table below provides an overview of Kalshi and its key features.
| Kalshi key information | Details |
|---|---|
| 🖥️ Platform | Designated Contract Market (DCM) |
| 🔒 Regulator | Commodity Futures Trading Commission (CFTC) |
| ✅ Future events | Sports outcomes, elections, pop culture, economy, politics, technology |
| 🔑 Availability | 41 US states |
| 🔞 Minimum age to join | 18+ |
Kalshi operates differently from a traditional online sportsbook. Rather than placing conventional sports bets, users can trade event contracts based on the outcomes of future events, including sports and elections, where available.
These contracts typically involve yes-or-no outcomes, with prices determined by market trading activity.
In the US, the Commodity Futures Trading Commission (CFTC) oversees derivatives markets. Kalshi operates as a CFTC-regulated Designated Contract Market (DCM), although its regulatory status does not automatically determine which contracts are available in every state.
Kalshi is available to eligible users in supported US jurisdictions, although availability can vary depending on location and the types of event contracts offered.
Unlike traditional sportsbooks, Kalshi operates as a federally regulated prediction market exchange. However, this does not mean every contract is available or permitted in every state.
Below, we look at Kalshi’s availability in Texas and California. Users should always check the platform’s current restrictions before trading.
Kalshi may be available to eligible users in Texas, subject to the platform’s current location and contract restrictions. Although traditional online sports betting is not permitted in Texas, prediction markets operate under a different regulatory framework. Users should check Kalshi’s latest eligibility requirements and available contracts before trading.
Kalshi may be available to eligible users in California, subject to the platform’s current eligibility and contract restrictions. As a CFTC-regulated exchange, Kalshi operates differently from traditional online sportsbooks, but this does not automatically mean every event contract is permitted in California. Users should check the latest availability information before trading.
Eligible users in supported US jurisdictions can register for a Kalshi account, subject to the platform’s location, age and verification requirements. Before signing up, check that Kalshi and the contracts you want to trade are available in your location.
Kalshi allows eligible users aged 18 and over to buy and sell event contracts. New users may also qualify for a welcome bonus. With the relevant Kalshi promo code, eligible traders can receive a $10 trading bonus after completing $10 in qualifying trades, subject to the offer’s terms and conditions.
Here’s how to sign up and claim your bonus, where available:
Click any banners on this page to access the prediction market site.
Select the green Sign Up button at the top of the page.
Choose whether you want to sign up with your Google, Apple, or email account.
If you selected email, complete the registration form by entering your email address, full name, date of birth, and creating a password.
Enter the Kalshi promo code to opt in for the sign up offer.
Read and accept the terms and conditions and submit your registration.
Verify your account by clicking the email verification link.
Make your first deposit of at least $1.
Make a $10 trade on qualifying future events, such as sports predictions.
Once you have met the $10 trading requirement, you will receive your $10 bonus in free trade credits.
Kalshi requires eligible users to complete identity verification as part of its account registration and compliance procedures
It is important to verify your account; otherwise, you will not be allowed to withdraw any of your trading bonuses.
Once you sign up, you can verify your account by submitting your proof of ID, address and a selfie.
The primary reason Kalshi is operational in the US is that the exchange operates as a Designated Contract Market, rather than a traditional sportsbook.
As briefly mentioned at the start of this guide, when using the exchange, you can trade on the outcome of future events.
All trades are in the form of binary outcomes, and contracts cost between $0.01 and $0.99. Successful contracts are settled at $1 and losing contracts at $0.
All event contract values are based on the trades by other individuals on the likelihood of an event occurring. As long as there are two sides to every trade and there is sufficient market liquidity, you can buy and sell contracts.
You read market prices as probabilities on Kalshi. For example, if a contract has the Boston Celtics to qualify for the playoffs at $0.25, this implies that the traders believe that there is a 25% likelihood of the Celtics reaching the postseason.
If you buy a ‘Yes’ position for $100, you will receive 400 contracts ($100/0.25). If the Celtics reach the playoffs, you will receive $400, excluding Kalshi fees ($300 in profit).
If the Celtics have a poor regular season and miss out on the playoffs, your trade is a loss, and you will lose your initial investment.
The example above is just one type of event contract at the prediction site. Besides sports predictions, you can also buy and sell contracts on election results, entertainment award shows, weather forecasts, political outcomes, and social trend predictions.
You can find almost anything you can think of here, including niche topics like “best AI this year”.
The table below details the current event contracts.
| Future events | Types of contracts |
|---|---|
| Elections and political results |
|
| Sports predictions |
|
| Cultural and entertainment outcomes |
|
| Economic and environmental events |
|
| Technology forecasts |
|
That wraps up our guide, and the next time someone brings up Kalshi, you can say that the prediction site is available in 41 states.
Of course, the current legal landscape of Kalshi is ever-changing, and the availability of the exchange may change in the coming weeks and months. Should there be any changes to the legal states, we will update this guide to include the list of restricted states.
Don’t forget that while the exchange is possible in most states, it is important that you understand how to buy and sell contracts.
Don’t rush into trading from the get-go; it is a good idea to spend some time researching how the trades work and which fees you need to factor in when buying and selling a contract.
Be responsible and always keep updated on the latest news and trends, as most contracts can adjust in real-time to reflect the updated thoughts and opinions of traders.
Kalshi operates as a Designated Contract Market (DCM) regulated by the Commodity Futures Trading Commission (CFTC). Availability is subject to location, eligibility and contract restrictions.
Kalshi’s availability can vary by state and contract type. Federal CFTC regulation does not automatically mean every contract is available in every jurisdiction. Always check Kalshi’s current location and eligibility restrictions.
Kalshi is generally available to eligible users in Florida, subject to the platform’s current location, age and contract restrictions. Check Kalshi’s latest eligibility requirements before trading.
Kalshi offers event contracts based on election outcomes, including US presidential elections. These are traded on a CFTC-regulated exchange rather than through a traditional sportsbook. Contract availability and eligibility requirements apply.
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