Arizona files criminal charges against Kalshi, accusing prediction market of illegal gambling
March 17, 2026, 6:29 PM GMT+1 / Updated March 17, 2026, 10:01 PM GMT+1
By David K. Li
Arizona prosecutors filed criminal charges against the prediction market Kalshi on Monday, accusing it of running an illegal gambling outfit in the state.
The 20-count complaint, filed in Maricopa County, alleges that Kalshi operates a gambling business in Arizona without a license and takes illegal bets on elections. “Kalshi may brand itself as a ‘prediction market,’ but what it’s actually doing is running an illegal gambling operation and taking bets on Arizona elections, both of which violate Arizona law,” state Attorney General Kristin Mayes said in a statement.
“No company gets to decide for itself which laws to follow,” she said.
The 20 misdemeanor charges are punishable by fines of $10,000 to $20,000.
The Arizona action is not in civil court, so for now, no enforcement action is being sought to shut Kalshi down within Arizona state lines.